Freddie Mac
Market Cap
US$10.6b
Last Updated
2019/10/16 23:34 UTC
Data Sources
Company Financials +
Executive Summary
Freddie Mac operates in the secondary mortgage market in the United States.
Snowflake
Fundamentals
Moderate growth potential with weak fundamentals.
Similar Companies
Share Price & News
How has Freddie Mac's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
-5.0%
FMCC
2.1%
US Mortgage
2.3%
US Market
1 Year Return
155.8%
FMCC
12.0%
US Mortgage
5.6%
US Market
Return vs Industry: FMCC exceeded the US Mortgage industry which returned 12% over the past year.
Return vs Market: FMCC exceeded the US Market which returned 5.6% over the past year.
Shareholder returns
| FMCC | Industry | Market | |
|---|---|---|---|
| 7 Day | -5.0% | 2.1% | 2.3% |
| 30 Day | -13.2% | -0.4% | -1.0% |
| 90 Day | 37.5% | 3.0% | -0.7% |
| 1 Year | 155.8%155.8% | 14.4%12.0% | 7.9%5.6% |
| 3 Year | 96.4%96.4% | 39.1%29.7% | 45.6%36.3% |
| 5 Year | 53.5%53.5% | 70.4%52.4% | 65.8%47.6% |
Price Volatility Vs. Market
How volatile is Freddie Mac's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is Freddie Mac undervalued compared to its fair value and its price relative to the market?
In this section, we usually try to help investors determine whether Freddie Mac is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Freddie Mac has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.
This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.
Next Steps
- Take a look at Freddie Mac's' forecasted future earnings and revenues from industry analysts to understand how the company is expected to perform in the future against its competitors and the wider market.
- When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Freddie Mac regulatory filings here.
- Explore potentially undervalued companies in the Banks industry.
Future Growth
How is Freddie Mac forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
65.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: FMCC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.7%).
Earnings vs Market: FMCC is forecast to become profitable over the next 3 year, which is considered above average market growth.
High Growth Earnings: FMCC's loss is forecast to worsen by 0% next year.
Revenue vs Market: FMCC's revenue (1.1% per year) is forecast to grow slower than the US market (7.3% per year).
High Growth Revenue: FMCC's revenue (1.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
High Future ROE: Insufficient data to determine if FMCC's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Freddie Mac performed over the past 5 years?
57.7%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: FMCC is unprofitable, but has reduced losses over the past 5 years at a rate of 57.7% per year.
Accelerating Growth: Unable to compare FMCC's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: FMCC is unprofitable, making it difficult to compare its past year earnings growth to the Mortgage industry (31.7%).
Return on Equity
High ROE: FMCC has a negative Return on Equity (139.23%), as it is currently unprofitable.
Return on Assets
ROA vs Industry: FMCC is currently unprofitable, so its Return on Assets is negative.
Return on Capital Employed
ROCE Improving: FMCC is currently unprofitable, so its Return on Capital Employed is negative.
Next Steps
Financial Health
How is Freddie Mac's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Inventory Level: FMCC has a low level of unsold assets or inventory.
Debt Coverage by Assets: FMCC's debt is not covered by short term assets (assets are 1x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable FMCC has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: FMCC is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -39.9% per year.
Financial Institutions Analysis
Asset Level: FMCC's level of assets compared to its equity is very high.
Allowance for Bad Loans: Insufficient data to determine if FMCC has a sufficient allowance for bad loans.
Low Risk Liabilities: FMCC reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if FMCC has an acceptable proportion of non-loan assets held.
Low Risk Deposits: FMCC has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if FMCC has an appropriate level of bad loans.
Next Steps
Dividend
What is Freddie Mac's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: Unable to evaluate FMCC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate FMCC's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stable Dividend: Insufficient data to determine if FMCC's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if FMCC's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: FMCC is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of FMCC's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
What is the CEO of Freddie Mac's salary, the management and board of directors tenure and is there insider trading?
3.1yrs
Average management tenure
CEO
David Brickman (53yo)
0.3yrs
Tenure
US$3,038,663
Compensation
Mr. David M. Brickman has been President of Federal Home Loan Mortgage Corporation since September 5, 2018 and served as its head of Multifamily until November 2018. He was Executive Vice President of Mult ...
CEO Compensation Analysis
Compensation vs. Market: David has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the US market.
Compensation vs Earnings: Insufficient data to compare David's compensation with company performance.
Management Age and Tenure
3.1yrs
Average Tenure
61yo
Average Age
Experienced Management: FMCC's management team is considered experienced (3.1 years average tenure).
Board Age and Tenure
1.8yrs
Average Tenure
61.5yo
Average Age
Experienced Board: FMCC's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chief Executive Officer CEO, President & Director |
| Shares | 4,000 |
| Max Price | US$1.27 |
Ownership Breakdown
Management Team
Jerry Weiss (61yo)
Executive VP & Chief Administrative Officer
- Tenure: 9.2yrs
- Compensation: US$2.17m
David Lowman (61yo)
Executive Vice President of Single-Family Business
- Tenure: 6.4yrs
- Compensation: US$3.36m
Ricardo Anzaldua-Montoya (65yo)
Executive VP
- Tenure: 0.8yrs
Jim Mackey (52yo)
Executive VP & CFO
- Tenure: 5.9yrs
- Compensation: US$3.36m
David Brickman (53yo)
CEO, President & Director
- Tenure: 0.3yrs
- Compensation: US$3.04m
John Krenitsky
Senior VP & Chief Compliance Officer
- Tenure: 1.3yrs
Michael Hutchins (63yo)
Executive Vice President of Investments & Capital Markets
- Tenure: 4.8yrs
- Compensation: US$3.07m
Donald Kish (50yo)
Senior VP
- Tenure: 1.4yrs
Jeff Markowitz
Senior VP of External Relations & Corporate Communications
- Tenure: 0yrs
Frank Nazzaro
Senior VP
- Tenure: 0yrs
Board Members
Lance Drummond (65yo)
Director
- Tenure: 4.3yrs
- Compensation: US$170.00k
Sy Naqvi (69yo)
Director
- Tenure: 6.2yrs
- Compensation: US$175.00k
Sara Mathew (64yo)
Non-Executive Chairman
- Tenure: 0.7yrs
- Compensation: US$185.00k
Gene Shanks (72yo)
Director
- Tenure: 10.8yrs
- Compensation: US$173.21k
Aleem Gillani (57yo)
Director
- Tenure: 0.8yrs
Steve Kohlhagen (71yo)
Director
- Tenure: 6.7yrs
- Compensation: US$168.81k
Grace Huebscher (59yo)
Director
- Tenure: 1.8yrs
- Compensation: US$160.00k
David Brickman (53yo)
CEO, President & Director
- Tenure: 0.3yrs
- Compensation: US$3.04m
Kathleen Casey (52yo)
Independent Director
- Tenure: 0yrs
Chris Herbert (58yo)
Director
- Tenure: 1.6yrs
- Compensation: US$121.33k
Company Information
Freddie Mac's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Freddie Mac
- Ticker: FMCC
- Exchange: OTCPK
- Founded: 1970
- Industry: Thrifts and Mortgage Finance
- Sector: Banks
- Market Cap: US$10.630b
- Shares outstanding: 3.22b
- Website: https://www.freddiemac.com
Number of Employees
Location
- Freddie Mac
- 8200 Jones Branch Drive
- McLean
- Virginia
- 22102
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| FMCC | OTCPK (Pink Sheets LLC) | Yes | Common Stock | US | USD | Dec 1988 |
| 0IKZ | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Dec 1988 |
| FHL | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Dec 1988 |
| FMCC.I | OTCPK (Pink Sheets LLC) | PFD VAR RATE | US | USD | May 1996 | |
| FMCC.H | OTCPK (Pink Sheets LLC) | PFD 5.1% | US | USD | Sep 1998 | |
| FMCC.G | OTCPK (Pink Sheets LLC) | PFD FLTG RATE | US | USD | Oct 1998 | |
| FMCC.K | OTCPK (Pink Sheets LLC) | PFD 5.79% | US | USD | Jul 1999 | |
| FMCC.L | OTCPK (Pink Sheets LLC) | PFD 5.97% | US | USD | Dec 1999 | |
| FMCC.M | OTCPK (Pink Sheets LLC) | PFD VAR RATE | US | USD | Feb 2001 | |
| FMCC.J | OTCPK (Pink Sheets LLC) | PFD VAR RATE | US | USD | Jun 2001 | |
| FMCC.P | OTCPK (Pink Sheets LLC) | PFD 6% NON-CUM | US | USD | Jun 2001 | |
| FMCC.N | OTCPK (Pink Sheets LLC) | PFD VR RT NCUM | US | USD | Jun 2001 | |
| FMCC.O | OTCPK (Pink Sheets LLC) | PFD 5.81% NCUM | US | USD | Jun 2001 | |
| FMCK.P | OTCPK (Pink Sheets LLC) | PFD 5.70% | US | USD | Nov 2001 | |
| FREG.P | OTCPK (Pink Sheets LLC) | PFD 5.81% | US | USD | Jun 2002 | |
| FMCC | BASE (Buenos Aires Stock Exchange) | CEDEAR EACH REP 0.5 COM STK USD0.21 | AR | ARS | Nov 2002 | |
| FREJ.N | OTCPK (Pink Sheets LLC) | PFD PERP 5.81% | US | USD | Apr 2004 | |
| FMCC.S | OTCPK (Pink Sheets LLC) | PFD PERP VAR | US | USD | Jul 2006 | |
| FMCC.T | OTCPK (Pink Sheets LLC) | PFD PERP 6.42% | US | USD | Jul 2006 | |
| FMCK.O | OTCPK (Pink Sheets LLC) | PERP PFD 5.9% | US | USD | Oct 2006 | |
| FMCK.M | OTCPK (Pink Sheets LLC) | PFD PERP 5.57% | US | USD | Jan 2007 | |
| FMCK.N | OTCPK (Pink Sheets LLC) | PFD CUM 5.66% | US | USD | Apr 2007 | |
| FMCK.L | OTCPK (Pink Sheets LLC) | 6.02% NON CM PFD | US | USD | Jul 2007 | |
| FMCK.I | OTCPK (Pink Sheets LLC) | PFD6.55% SER Y | US | USD | Sep 2007 | |
| FMCK.J | OTCPK (Pink Sheets LLC) | PFD 8.375% NCM | US | USD | Nov 2007 |
Biography
Freddie Mac operates in the secondary mortgage market in the United States. The company purchases residential mortgage loans originated by lenders, as well as invests in mortgage loans and mortgage-related ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/16 23:34 |
| End of Day Share Price | 2019/10/16 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.