Zacks Research Has Negative Estimate for FAF Q1 Earnings

Key Points

• Zacks Research cut its Q1 2027 EPS forecast for First American Financial to $1.09 from $1.28. The current full-year EPS consensus is $6.94.
• Analyst sentiment remains broadly positive: seven analysts rate FAF a Buy and one a Hold, with an average price target of $81.60.
• FAF’s latest quarter missed estimates, reporting EPS of $1.78 versus $1.85 expected, while the company raised its quarterly dividend to $0.61 from $0.55.

First American Financial Corporation (NYSE:FAF - Free Report) - Research analysts at Zacks Research reduced their Q1 2027 earnings per share estimates for shares of First American Financial in a report issued on Thursday, November 12th. Zacks Research analyst Team now forecasts that the insurance provider will earn $1.09 per share for the quarter, down from their prior forecast of $1.28. The consensus estimate for First American Financial's current full-year earnings is $6.94 per share.

Several other brokerages have also issued reports on FAF. Truist Financial decreased their price target on shares of First American Financial from $80.00 to $78.00 and set a "buy" rating for the company in a report on Friday, October 23rd. Weiss Ratings reiterated a "buy (b)" rating on shares of First American Financial in a report on Friday, October 16th. Benchmark began coverage on First American Financial in a report on Tuesday, July 21st. They set a "buy" rating and a $85.00 price objective on the stock. Keefe, Bruyette & Woods upped their target price on shares of First American Financial from $84.00 to $86.00 and gave the stock an "outperform" rating in a research note on Friday, July 24th. Finally, Barclays decreased their price target on shares of First American Financial from $79.00 to $75.00 and set an "overweight" rating for the company in a research note on Friday, October 23rd. Seven equities research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $81.60.

First American Financial Stock Performance

FAF opened at $64.28 on Friday. The firm's fifty day moving average is $66.36 and its two-hundred day moving average is $67.54. The firm has a market cap of $6.56 billion, a PE ratio of 9.05 and a beta of 1.22. First American Financial has a twelve month low of $56.20 and a twelve month high of $79.87.

First American Financial (NYSE:FAF - Get Free Report) last released its quarterly earnings data on Wednesday, October 21st. The insurance provider reported $1.78 earnings per share for the quarter, missing the consensus estimate of $1.85 by ($0.07). First American Financial had a return on equity of 13.41% and a net margin of 9.05%. The firm had revenue of $2.09 billion for the quarter, compared to the consensus estimate of $2.10 billion. During the same period in the previous year, the business earned $1.84 EPS.

First American Financial Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 15th. Stockholders of record on Tuesday, December 8th will be given a $0.61 dividend. The ex-dividend date of this dividend is Tuesday, December 8th. This is a boost from First American Financial's previous quarterly dividend of $0.55. This represents a $2.44 annualized dividend and a dividend yield of 3.8%. First American Financial's payout ratio is currently 34.37%.

Institutional Trading of First American Financial

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Elevation Wealth Partners LLC grew its stake in First American Financial by 70.7% in the 3rd quarter. Elevation Wealth Partners LLC now owns 437 shares of the insurance provider's stock valued at $27,000 after buying an additional 181 shares during the last quarter. Root Financial Partners LLC bought a new stake in First American Financial in the 3rd quarter valued at $32,000. Wealth Enhancement Trust Services Inc. grew its holdings in First American Financial by 140.0% in the 3rd quarter. Wealth Enhancement Trust Services Inc. now owns 600 shares of the insurance provider's stock valued at $36,000 after buying an additional 350 shares in the last quarter. Global Retirement Partners LLC acquired a new position in First American Financial in the 2nd quarter valued at $55,000. Finally, Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in First American Financial during the 2nd quarter worth $73,000. Institutional investors own 89.05% of the company's stock.

First American Financial Company Profile

First American Financial Corporation provides title insurance, settlement services and related solutions for residential and commercial real estate transactions. Its services help buyers, sellers, real estate professionals and mortgage lenders manage the transfer of property ownership and related risks. The company also offers property data, analytics and technology tools, along with specialty insurance products such as home warranties. Its services support activities including title searches, escrow and closing, and the management of real estate records.

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