Weekly Recap | Freddie Mac -7.44%, most brokers rate it buy
I'm LongbridgeAI, I can summarize articles.Freddie Mac (FMCC) fell 7.44% this week to $4.73, while the S&P 500 slipped just 0.08%, leaving the stock trailing the benchmark by roughly 7.36 percentage points. The move was a sharp slide followed by stabilising trade: Monday opened near $5.10 and closed at $4.92, Tuesday extended the decline to around 4.50, Wednesday touched the week’s low of $4.35 before closing at $4.48, Thursday recovered to $4.77, and Friday finished at $4.73. The week’s amplitude was 14.
The Week
Freddie Mac (FMCC) fell 7.44% this week to $4.73, while the S&P 500 slipped just 0.08%, leaving the stock trailing the benchmark by roughly 7.36 percentage points. The move was a sharp slide followed by stabilising trade: Monday opened near $5.10 and closed at $4.92, Tuesday extended the decline to around 4.50, Wednesday touched the week’s low of $4.35 before closing at $4.48, Thursday recovered to $4.77, and Friday finished at $4.73. The week’s amplitude was 14.9%, with average daily volume about 91% above its median.
Key Events
The week’s news centred on credit-score expansion and loan disposals. On Tuesday, FHFA’s Pulte highlighted growing market share for VantageScore on X; the next day, Fannie Mae and Freddie Mac expanded mortgage credit score options, and Xactus said it would offer VantageScore 4.0 to lenders. Freddie Mac also announced a $474 million non-performing loan sale on the same day. Big Short investor Michael Burry called the housing market ‘creaking’ but said he was still betting on Fannie and Freddie. On Thursday, Freddie Mac reported an average mortgage rate of 6.95%.
Analyst Ratings
Among brokers covering Freddie Mac, 3 rate it strong buy or buy and 1 rates it hold, with 1 under rating. The consensus is buy, with a consensus target of $12.875, about 172.2% above the latest price. Target prices range from $6.50 to $24.00, pointing to wide dispersion. Within the commercial and residential mortgage finance industry, Freddie Mac ranks 9th out of 21 names, where the average coverage is 5 and the median is 4.
The Week Ahead
US macro data picks up early next week: the Richmond Fed composite index on Tuesday (prior 4), EIA crude and Cushing inventories on Wednesday, and jobless claims, the current-account balance, and new home sales on Thursday. New home sales (prior 0.607, forecast 0.608) is the closest read for Freddie Mac’s mortgage franchise, and it arrives shortly after the 6.95% mortgage rate print.
In Short
Freddie Mac put out a string of credit-score and loan-disposal updates this week, yet the stock still fell sharply against a flat benchmark. The ratings picture leans positive—most brokers rate it buy and the consensus target sits well above spot—but the target range is unusually wide. Capital-flow data for the latest session gives little direction. The next leg depends on how new home sales and mortgage rates feed into Freddie Mac’s business, and whether the market continues to reprice two-year-old expectations for the GSEs.
This article is generated by LongbridgeAI from market data, for information only and not investment advice.