Fannie, Freddie Soar as Ackman Says They’re ‘Stupidly Cheap’

Shares of Fannie Mae and Freddie Mac pared a months-long slide after Bill Ackman, who has bet heavily on the companies, called the mortgage-finance giants “stupidly cheap.”

Fannie rose 51% in Monday trading, the steepest one-day jump since August 2009. Freddie rallied 47%, the stock’s biggest climb since March 2013.