Investors in mortgage lender Federal National Mortgage Association (OTCMKTS:FNMA) have not had a particularly fruitful time over the past few days and the trend remained the same on Tuesday.
On Tuesday, FNMA stock lost 3.01% at $ 0.90 with more than 2.07 million shares, compared to its average volume of 5.23 million shares. The stock has moved within a range of $0.9000 – 0.9300 after opening trading at $0.93.
The stock declined by another 3% and took its losses over the course of the past week to as much as 6%. In this context, it is perhaps also necessary to note that there was no news about the company yesterday. However, the current situation with the Fannie Mae stock is linked to a key announcement made by Fannie Mae back on November 15 with regards to its fixed price cash tender offers.
The company announced that it had started the fixed price cash tender offers related to the purchase of all the Connecticut Avenue Securities Debt Notes. It was a significant announcement from Fannie Mae but at the same time it should be noted that it did not lead to any particular boost for its stock. In addition to that, it was also announced by Fannie Mae that the offers were going to expire at 5-00 p.m. at New York City local time on November 19, 2021. It now remains to be seen if the stock can actually make a recovery or not.