FNMA Stock Recent News

Fannie Mae's Crime Detection Unit Will Boost Safety and Soundness and Save Millions by Preventing Future Fraud Losses in U.S. Mortgage Market WASHINGTON , May 28, 2025 /PRNewswire/ -- Fannie Mae (OTCQB: FNMA) announced the launch today of its AI-powered Crime Detection Unit in partnership with leading AI software company Palantir. The new partnership will expand Fannie Mae's fraud detection capabilities with leading AI-enabled financial crimes data science and investigations technology.

U.S. President Donald Trump said on Tuesday that the U.S. government will retain its mortgage guarantees and oversight role for Fannie Mae and Freddie Mac as he works to take the U.S. mortgage finance firms public. "I am working on TAKING THESE AMAZING COMPANIES PUBLIC, but I want to be clear, the U.S. Government will keep its implicit GUARANTEES, and I will stay strong in my position on overseeing them as President," Trump said in a post on Truth Social.

I recommend junior preferred shares of Fannie Mae and Freddie Mac, as they offer significant upside and anti-dilution protection in any likely restructuring scenario. Common shares appear overvalued, already pricing in a successful recap and release, with little realistic upside based on my valuation models and government analysis. Trump's administration, with aligned FHFA and Treasury leadership, is poised to decide on recap and release within 90 days, making privatization likely this term.

Fannie Mae's Series S and T preferreds are deeply discounted, offering double-digit yields and significant upside if conservatorship ends. Both issues are likely candidates for redemption due to their high coupons, which could drive prices toward par and nearly double current value. Risks include alternate government actions and non-cumulative dividends, but strong earnings and incentives support dividend resumption and redemption.

Analysts have said the move could send serious profits toward the government, while also warning it could slam mortgage rates.

Fannie Mae and Freddie Mac have surged on Trump privatization hopes, but common shares may now be overvalued, especially Fannie Mae. The government's senior preferred shares have a liquidity preference, limiting upside for common shareholders if GSEs are recapitalized. Fannie Mae is downgraded to Sell due to stretched valuation; Freddie Mac remains a Hold given more reasonable pricing.

Investors are betting that the Trump administration will remove the companies from government conservatorship.

WASHINGTON , May 22, 2025 /PRNewswire/ -- Fannie Mae (OTCQB: FNMA) today announced that it has commenced fixed-price cash tender offers (each, an "Offer" and, collectively, the "Offers") for the purchase of any and all of the Connecticut Avenue Securities® (CAS) Notes listed below (the "Notes"), upon the terms and subject to the conditions set forth in the Offer to Purchase and related Notice of Guaranteed Delivery, each dated as of May 22, 2025 (collectively, the "Offer Documents"). Certain of the classes of Notes subject to the Offers were issued by the REMIC trusts identified in the table below (each, a "Trust").

Trump said he's considering taking Fannie Mae and Freddie Mac public. The move would privatize the mortgage giants, which have been under government control since 2008.

WASHINGTON , May 21, 2025 /PRNewswire/ -- Fannie Mae (OTCQB: FNMA) today announced the results of its twenty-sixth non-performing loan sale transaction. The deal, announced on April 22, 2025, included the sale of 1,077 deeply delinquent loans totaling $193 million in unpaid principal balance (UPB), offered in two pools.