Replies to post #435514 on Fannie Mae-No Politics (FNMA)

[contrarian bull]

Think of F&F like a profitable New York deli. Making a few thousand a week in net profit. Then the mob takes note - they demand protection money or "the next sound they hear will be their heads hitting the floor".

Now they make $2000 per week, but pay $2000 per week to the mob so they don't get shut down. Customers are happy, the mob is happy, the owner and his family still have a job - what else matters?

But FNMA keeps $0. That's the issue we are all waiting to be fixed.

[stockprofitter]

No. They keep $600m or about 50c share in Earnings. With an industry average PE of 22 means we should be sitting ten dollars per share minimum.