Counterpoint Mutual Funds LLC Invests $409,000 in First American Financial Corporation $FAF

Key Points

• Counterpoint Mutual Funds LLC invested approximately $409,000 in First American Financial Corporation, acquiring 6,669 shares during the 2nd quarter.
• First American Financial announced a quarterly dividend of $0.55 per share, reflecting a 3.4% dividend yield, to be paid to stockholders of record on September 22nd.
• In addition to the dividend increase, the company's Board approved a $300 million share repurchase program, indicating confidence in the stock's value.

Counterpoint Mutual Funds LLC purchased a new stake in shares of First American Financial Corporation (NYSE:FAF - Free Report) in the 2nd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm purchased 6,669 shares of the insurance provider's stock, valued at approximately $409,000.

A number of other hedge funds also recently bought and sold shares of the company. Boston Partners increased its stake in First American Financial by 23.0% during the 1st quarter. Boston Partners now owns 4,692,258 shares of the insurance provider's stock valued at $307,181,000 after purchasing an additional 876,874 shares in the last quarter. Dimensional Fund Advisors LP grew its holdings in shares of First American Financial by 4.7% during the first quarter. Dimensional Fund Advisors LP now owns 4,150,660 shares of the insurance provider's stock valued at $272,406,000 after buying an additional 187,144 shares during the last quarter. Vaughan Nelson Investment Management L.P. increased its position in shares of First American Financial by 6.2% during the first quarter. Vaughan Nelson Investment Management L.P. now owns 1,626,142 shares of the insurance provider's stock valued at $106,724,000 after acquiring an additional 95,165 shares in the last quarter. Reinhart Partners LLC. raised its holdings in First American Financial by 1.1% in the 2nd quarter. Reinhart Partners LLC. now owns 1,217,263 shares of the insurance provider's stock worth $74,729,000 after acquiring an additional 13,286 shares during the last quarter. Finally, Northern Trust Corp lifted its position in First American Financial by 3.2% in the 1st quarter. Northern Trust Corp now owns 1,063,232 shares of the insurance provider's stock valued at $69,780,000 after acquiring an additional 32,610 shares in the last quarter. Institutional investors own 89.05% of the company's stock.

First American Financial Stock Performance

Shares of NYSE:FAF opened at $65.36 on Wednesday. The stock's 50-day simple moving average is $63.67 and its two-hundred day simple moving average is $61.46. The stock has a market capitalization of $6.65 billion, a price-to-earnings ratio of 36.11 and a beta of 1.27. First American Financial Corporation has a 52-week low of $53.09 and a 52-week high of $70.92.

First American Financial (NYSE:FAF - Get Free Report) last issued its quarterly earnings data on Wednesday, July 23rd. The insurance provider reported $1.53 earnings per share for the quarter, topping the consensus estimate of $1.40 by $0.13. The firm had revenue of $1.84 billion for the quarter, compared to analysts' expectations of $1.78 billion. First American Financial had a net margin of 2.90% and a return on equity of 10.41%. The business's quarterly revenue was up 14.2% on a year-over-year basis. During the same quarter in the prior year, the business earned $1.27 EPS. As a group, equities analysts forecast that First American Financial Corporation will post 5.35 earnings per share for the current fiscal year.

First American Financial Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, September 29th. Stockholders of record on Monday, September 22nd will be given a dividend of $0.55 per share. This represents a $2.20 dividend on an annualized basis and a dividend yield of 3.4%. The ex-dividend date of this dividend is Monday, September 22nd. This is a positive change from First American Financial's previous quarterly dividend of $0.54. First American Financial's payout ratio is presently 121.55%.

First American Financial announced that its Board of Directors has approved a share repurchase program on Wednesday, July 23rd that authorizes the company to repurchase $300.00 million in shares. This repurchase authorization authorizes the insurance provider to buy up to 5.1% of its stock through open market purchases. Stock repurchase programs are usually an indication that the company's leadership believes its stock is undervalued.

Analyst Ratings Changes

A number of research firms have commented on FAF. Wall Street Zen raised First American Financial from a "hold" rating to a "buy" rating in a report on Saturday, August 9th. Keefe, Bruyette & Woods boosted their target price on First American Financial from $77.00 to $79.00 and gave the stock an "outperform" rating in a research report on Monday, July 28th. Finally, Barclays dropped their price target on shares of First American Financial from $72.00 to $70.00 and set an "equal weight" rating on the stock in a report on Tuesday, July 8th. Three investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $75.00.

Insider Activity at First American Financial

In related news, Director Margaret M. Mccarthy sold 3,500 shares of the firm's stock in a transaction on Wednesday, August 13th. The stock was sold at an average price of $65.63, for a total value of $229,705.00. Following the transaction, the director directly owned 28,095 shares of the company's stock, valued at approximately $1,843,874.85. This trade represents a 11.08% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 3.70% of the stock is owned by company insiders.

First American Financial Company Profile

First American Financial Corporation, through its subsidiaries, provides financial services. It operates through Title Insurance and Services, and Home Warranty segments. The Title Insurance and Services segment issues title insurance policies on residential and commercial property, as well as offers related products and services internationally.

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