Freddie Mac (OTC:FMCC) Stock Price Up 1.2% – Should You Buy?

Freddie Mac (OTC:FMCC) shares were up 1.2% during trading on Thursday . The company traded as high as $6.78 and last traded at $6.66. Approximately 3,043,233 shares changed hands during mid-day trading, an increase of 16% from the average daily volume of 2,619,196 shares. The stock had previously closed at $6.58.

Wall Street Analyst Weigh In

Separately, Keefe, Bruyette & Woods reduced their price objective on Freddie Mac from $11.00 to $9.00 and set an “underperform” rating for the company in a research report on Thursday, December 18th. One analyst has rated the stock with a Sell rating, According to data from MarketBeat, the company presently has an average rating of “Sell” and an average target price of $9.00.

Freddie Mac Stock Up 1.2%

The stock has a market cap of $4.33 billion, a price-to-earnings ratio of -333.00 and a beta of 1.79. The stock’s 50 day moving average price is $8.33.

The Federal Home Loan Mortgage Corporation, known as Freddie Mac, is a government-sponsored enterprise created by Congress in 1970 to support the U.S. secondary mortgage market. Its statutory mission is to provide liquidity, stability and affordability to the nation’s residential mortgage market by buying mortgages from lenders, packaging them into mortgage-backed securities (MBS), and guaranteeing the payment of principal and interest to investors in those securities.

Freddie Mac’s core activities include purchasing mortgages originated by banks and other lenders, securitizing pools of single-family and multifamily loans into agency MBS, and offering credit risk-transfer and liquidity tools designed to broaden access to mortgage finance.