Fannie Mae (FNMA) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Fannie Mae

OTC Markets OTCQB•Financial Services•Mortgage Finance

$5.06+0.26(0.05%)Pre-market

Market Cap

$29.98B

P/E

1.9x

P/S

1.0x

P/B

0.3x

Federal National Mortgage Association provides financing solutions for residential mortgages in the United States. The company operates in two segments, Single-Family and Multifamily. It offers mortgage acquisitions and securitizations; and credit risk and loss management services. The company also engages in mortgage securitization transactions, including lender swap, portfolio securitization, and structured securitization transactions; and credit risk and loss management services. Federal National Mortgage Association was incorporated in 1938 and is based in Washington, District Of Columbia.

How this company scores

WeakMetricSide Score: 65/100

Grade capped at D — Interest coverage below 1× (0.1x) — earnings cannot cover interest. Strongest: Cash & Earnings Quality (24/25); weakest: Balance Sheet & Red Flags (7/25).

Profitability20/25

Growth14/25

Balance Sheet & Red Flags7/25

Cash & Earnings Quality24/25

Strengths

Rising free cash flowStrong marginsCash-backed earningsProfit converts from growth

Grade capped at D

Interest coverage below 1× (0.1x) — earnings cannot cover interest.

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 1.9x5y range 0.1x – 4.9x

Currently above its 20-quarter median.

P/S · 1.0x5y range 0.1x – 2.5x

Currently above its 20-quarter median.

P/B · 0.3x5y range 0.0x – 0.7x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Leverage Risk

Red Flag

D/E ratio is 34.6 — heavily leveraged and vulnerable to rising rates or cash flow dips.

Price & Volume

Market Cap $29.98B

Metrics at a Glance

as of September 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $29.83B
Q. Revenue: $7.65B
TTM EBITDA: $18.46B
TTM Op. Income: $18.46B
Q. Op. Income: $4.30B
TTM Net Income: $15.41B
Q. Net Income: $4.18B
EPS: $0.18
Shares Out.: $5.87B

$29.83B in TTM revenue grew 3.1% YoY, reaching $7.65B last quarter. TTM EBITDA of $18.46B and TTM operating income of $18.46B show growth is flowing through to the bottom line. TTM net income of $15.41B means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 4 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

EBITDA Margin: 56.1%
Op. Margin: 56.1%
Net Margin: 54.6%

Op. margin of 56.1% is down 8.2% YoY — costs are rising relative to revenue. Net margin at 54.6% Over the past year, operating margin is down 13% — a weakening trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 1.9x
P/S Ratio: 1.0x
P/B Ratio: 0.3x

At 1.9x P/E, the stock trades below typical market levels. P/S of 1.0x and P/B of 0.3x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Across the last 8 quarters, P/E has fallen for 4 consecutive quarters — an improving trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $4.32T
Cash: $36.34B
Long-Term Debt: $4.14T
Book Value: $119.64B
D/E Ratio: 34.6
Debt/EBITDA: 963.3

With $4.32T in assets and $4.14T in long-term debt, D/E is 34.6and book value is $119.64B — elevated leverage, meaning significant financial risk in a downturn. Across the last 8 quarters, debt/equity has fallen for 7 consecutive quarters — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $876.00M
TTM Free Cash Flow: $32.60B
FCF Margin: 109.3%
FCF / Net Income: 2.1

TTM FCF of $32.60B on $876.00M in operating cash flow. The FCF / Net Income ratio of 2.1x means free cash flow covers net income — earnings are backed by cash. Over the past year, free cash flow is up 481% — a weakening trend.