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What do you think of buying Fannie Mae/Freddie Mac on the possibility that they will be privatized in the near future?
↗ https://reddit.com/r/investing/comments/1k5lspy/what_do_you_think_of_buying_fannie_maefreddie_mac/
As most or you know, Fannie Mae and Freddie Mac have been under federal conservatorship since the foreclosure crisis of 2008. At the time of the crisis, their stock prices fell from roughly $60/share to less than a dollar.
Recently, there have been talks of once again privitizing Fannie and Freddie. The first Trump administration tried to do so, but the deal never materialized. With the second Trump administration, there is, once again, speculation that the federal government could sell their shares to private investors.
If this happens, it seems to me that the stock prices would likely rise. What do you think? Are these companies worth a dart throw on the chance that they are privatized in the next 4 years?