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I've been pushing you to buy Farmer Mac's stock for a long time on Seeking Alpha. My first article dates back to August 27, 2019.
For several years the stock tread water. This chart makes clear
Farmer Mac: The Case For A Forever Hold
Summary
- Farmer Mac's stock has been on a tear over the last six months, bringing it near my $175 price target.
- But there is a strong case for Farmer Mac as a Forever Hold because of its federal government charter and farmer subsidies.
- These benefits allow Farmer Mac to manage to possibly the lowest credit and interest rate risk of any financial institution.
- Farmer Mac should also be able to grow its assets by 8% a year and its EPS a bit faster.
Gary Gordon’s career was on Wall Street, where he was a stock analyst covering the housing, mortgage and consumer finance industries. He also served as a U.S. investment strategist and as a portfolio manager. The bulk of his work career was at PaineWebber and UBS. He is now retired. Mr. Gordon is an adjunct professor at Mercy College in New York. He teaches economics on campus and math at prisons (Sing Sing and Taconic in New York). He also presents financial literacy seminars to adults and students. He is on the Board of Hudson Link (college education for incarcerated men and women) and the Baron de Hirsch Fund. Mr. Gordon is married with two young adult children. He has degrees from Colgate University (BA '74, philosophy) and The Wharton School (MBA '77, finance).
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