Investors Are Counting on a Big Rally in Fannie Mae Stock. Why This Analyst Warns One May Not Be Coming.

Fannie Mae (FNMA) has been grabbing a lot of attention on Wall Street as optimism rises over reports that President Donald Trump’s administration is considering releasing both Fannie Mae and Freddie Mac (FMCC) from federal conservatorship and possibly taking them public through an IPO (current shares are traded over-the-counter). Fannie Mae, which bundles and guarantees mortgages, has stayed under government control for nearly two decades, relying on its government-backed guarantees to shield investors fro ...