From "Buy" to "Neutral" in five months: Mizuho downgrades Fannie Mae and Freddie Mac, privatization expectations fall rapidly

Smart Finance APP has learned that Mizuho Securities recently downgraded the ratings of Fannie Mae (FNMA.US) and Freddie Mac (FMCC.US) from “Buy” to “Neutral,” with their target prices cut in half: Fannie Mae’s target price reduced from $10 to $5, and Freddie Mac’s target price reduced from $9 to $4. It has only been five months since Mizuho first initiated coverage and gave them “Buy” ratings.