First American Financial Corporation $FAF Stock Position Reduced by HG Vora Capital Management LLC

Key Points

• HG Vora Capital Management LLC reduced its stake in First American Financial by 35.0%, now owning approximately 2.11% of the company worth $142.7 million.
• Several institutional investors made changes to their shares during the first quarter, with 89.05% of the stock now owned by hedge funds and other investors.
• First American Financial's stock has recently experienced an upgrade to "buy" by Wall Street Zen, despite Barclays lowering their price target on the stock to $70.00.

HG Vora Capital Management LLC cut its stake in First American Financial Corporation (NYSE:FAF - Free Report) by 35.0% in the first quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 2,175,000 shares of the insurance provider's stock after selling 1,170,000 shares during the period. First American Financial makes up about 14.6% of HG Vora Capital Management LLC's holdings, making the stock its largest holding. HG Vora Capital Management LLC owned approximately 2.11% of First American Financial worth $142,745,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other large investors have also recently added to or reduced their stakes in the company. Alpine Bank Wealth Management acquired a new position in First American Financial in the first quarter valued at approximately $28,000. Richardson Capital Management LLC acquired a new position in First American Financial in the first quarter valued at approximately $39,000. Versant Capital Management Inc lifted its holdings in First American Financial by 645.7% in the first quarter. Versant Capital Management Inc now owns 962 shares of the insurance provider's stock valued at $63,000 after acquiring an additional 833 shares during the last quarter. UMB Bank n.a. lifted its holdings in First American Financial by 132.1% in the first quarter. UMB Bank n.a. now owns 1,216 shares of the insurance provider's stock valued at $80,000 after acquiring an additional 692 shares during the last quarter. Finally, GAMMA Investing LLC lifted its holdings in First American Financial by 23.9% in the first quarter. GAMMA Investing LLC now owns 1,327 shares of the insurance provider's stock valued at $87,000 after acquiring an additional 256 shares during the last quarter. 89.05% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling

In related news, Director Margaret M. Mccarthy sold 3,500 shares of the business's stock in a transaction on Wednesday, August 13th. The stock was sold at an average price of $65.63, for a total transaction of $229,705.00. Following the completion of the transaction, the director directly owned 28,095 shares of the company's stock, valued at $1,843,874.85. The trade was a 11.08% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. 3.70% of the stock is owned by insiders.

Analyst Ratings Changes

FAF has been the topic of a number of recent analyst reports. Wall Street Zen upgraded First American Financial from a "hold" rating to a "buy" rating in a report on Saturday, August 9th. Keefe, Bruyette & Woods upped their price target on First American Financial from $77.00 to $79.00 and gave the stock an "outperform" rating in a research note on Monday, July 28th. Finally, Barclays decreased their price target on First American Financial from $72.00 to $70.00 and set an "equal weight" rating on the stock in a research note on Tuesday, July 8th. Three investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $75.00.

First American Financial Trading Up 1.6%

FAF traded up $1.10 on Monday, hitting $68.16. 943,903 shares of the company were exchanged, compared to its average volume of 876,484. First American Financial Corporation has a twelve month low of $53.09 and a twelve month high of $70.92. The company has a market cap of $6.94 billion, a price-to-earnings ratio of 37.66 and a beta of 1.26. The firm has a 50-day moving average price of $62.09 and a two-hundred day moving average price of $61.25.

First American Financial (NYSE:FAF - Get Free Report) last released its earnings results on Wednesday, July 23rd. The insurance provider reported $1.53 EPS for the quarter, topping the consensus estimate of $1.40 by $0.13. First American Financial had a return on equity of 10.41% and a net margin of 2.90%.The firm had revenue of $1.84 billion during the quarter, compared to analysts' expectations of $1.78 billion. During the same period in the previous year, the firm posted $1.27 EPS. First American Financial's revenue for the quarter was up 14.2% on a year-over-year basis. Equities analysts expect that First American Financial Corporation will post 5.35 EPS for the current year.

First American Financial declared that its board has approved a stock buyback program on Wednesday, July 23rd that authorizes the company to buyback $300.00 million in shares. This buyback authorization authorizes the insurance provider to repurchase up to 5.1% of its shares through open market purchases. Shares buyback programs are generally a sign that the company's board of directors believes its stock is undervalued.

About First American Financial

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.