First Trust Advisors LP Buys 684,117 Shares of First American Financial Corporation $FAF

Key Points

• First Trust Advisors LP more than doubled its stake in First American Financial in the first quarter, buying an additional 684,117 shares and bringing its holdings to 1.28% of the company.
• First American Financial beat second-quarter expectations, reporting EPS of $2.08 versus $1.80 expected and revenue of $2.11 billion versus $2.03 billion forecast, helped by commercial title strength and higher investment income.
• Analyst sentiment remains broadly positive, with multiple firms raising targets and the consensus rating standing at Moderate Buy with an average price target of $84.60.

First Trust Advisors LP lifted its position in First American Financial Corporation (NYSE:FAF - Free Report) by 110.2% in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 1,304,820 shares of the insurance provider's stock after acquiring an additional 684,117 shares during the quarter. First Trust Advisors LP owned 1.28% of First American Financial worth $78,668,000 at the end of the most recent reporting period.

A number of other large investors have also recently made changes to their positions in the stock. Duncker Streett & Co. Inc. grew its holdings in First American Financial by 616.4% during the 1st quarter. Duncker Streett & Co. Inc. now owns 437 shares of the insurance provider's stock worth $26,000 after acquiring an additional 376 shares in the last quarter. V Square Quantitative Management LLC purchased a new stake in First American Financial during the fourth quarter worth $27,000. Global Retirement Partners LLC lifted its holdings in First American Financial by 1,107.5% during the fourth quarter. Global Retirement Partners LLC now owns 483 shares of the insurance provider's stock worth $30,000 after buying an additional 443 shares during the period. Danske Bank A S bought a new stake in First American Financial during the 3rd quarter valued at $45,000. Finally, IFP Advisors Inc increased its holdings in shares of First American Financial by 568.8% in the 4th quarter. IFP Advisors Inc now owns 749 shares of the insurance provider's stock valued at $46,000 after acquiring an additional 637 shares during the period. 89.05% of the stock is owned by hedge funds and other institutional investors.

First American Financial News Roundup

Here are the key news stories impacting First American Financial this week:

• Positive Sentiment: First American Financial reported Q2 earnings of $2.08 per share, beating estimates of $1.80, while revenue came in at $2.11 billion versus expectations of $2.03 billion. The results were driven by commercial title strength, higher investment income, and improved average revenue per order. Article: First American Financial (FAF) Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: Keefe, Bruyette & Woods raised its price target on First American Financial to $86 from $84 and reaffirmed an outperform rating, signaling confidence in further upside for FAF. Article: Benzinga report on price target increase
• Positive Sentiment: Benchmark Co. initiated coverage with a buy rating and a $85 price target, adding to the bullish analyst sentiment around the stock. Article: Benchmark initiates coverage on FAF
• Neutral Sentiment: Investors are also parsing Q2 earnings-call highlights and transcripts, which emphasized record commercial revenue and the company’s operating momentum, but did not add materially new information beyond the earnings release. Article: First American Financial Corp (FAF) Q2 2026 Earnings Call Highlights
• Neutral Sentiment: Some research notes on upcoming earnings estimates were published, but they appear to be routine analyst commentary rather than a major new driver for FAF shares. Article: What is Zacks Research's Estimate for FAF Q1 Earnings?

Wall Street Analysts Forecast Growth

Several research firms recently commented on FAF. Weiss Ratings reiterated a "buy (b)" rating on shares of First American Financial in a research note on Monday. Zacks Research downgraded shares of First American Financial from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, June 23rd. Stephens reaffirmed an "overweight" rating and issued a $84.00 price target on shares of First American Financial in a report on Friday, June 12th. Keefe, Bruyette & Woods upped their price target on First American Financial from $84.00 to $86.00 and gave the stock an "outperform" rating in a research report on Friday. Finally, Truist Financial increased their price objective on First American Financial from $82.00 to $85.00 and gave the company a "buy" rating in a report on Friday, April 24th. Seven research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $84.60.

Insiders Place Their Bets

In related news, SVP Lisa W. Cornehl sold 5,823 shares of the firm's stock in a transaction dated Tuesday, May 5th. The stock was sold at an average price of $68.63, for a total transaction of $399,632.49. Following the completion of the transaction, the senior vice president directly owned 29,635 shares in the company, valued at $2,033,850.05. This trade represents a 16.42% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Company insiders own 3.50% of the company's stock.

First American Financial Price Performance

Shares of First American Financial stock opened at $75.11 on Friday. First American Financial Corporation has a 12 month low of $56.20 and a 12 month high of $75.96. The business has a 50 day simple moving average of $68.38 and a two-hundred day simple moving average of $65.97. The stock has a market capitalization of $7.65 billion, a P/E ratio of 10.40, a PEG ratio of 0.67 and a beta of 1.23.

First American Financial (NYSE:FAF - Get Free Report) last announced its quarterly earnings data on Wednesday, July 22nd. The insurance provider reported $2.08 EPS for the quarter, topping analysts' consensus estimates of $1.80 by $0.28. First American Financial had a return on equity of 13.32% and a net margin of 9.33%.The firm had revenue of $2.11 billion for the quarter, compared to the consensus estimate of $2.03 billion. During the same quarter last year, the business posted $1.53 earnings per share. The firm's revenue was up 15.0% compared to the same quarter last year. As a group, research analysts anticipate that First American Financial Corporation will post 6.74 EPS for the current fiscal year.

First American Financial Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, June 15th. Investors of record on Monday, June 8th were issued a $0.55 dividend. This represents a $2.20 annualized dividend and a yield of 2.9%. The ex-dividend date was Monday, June 8th. First American Financial's dividend payout ratio (DPR) is 33.79%.

First American Financial Company Profile

First American Financial Corporation is a leading provider of title insurance, settlement services and diversified real estate-related data and analytics. Headquartered in Santa Ana, California, the company serves customers throughout the United States as well as in Canada, Europe, Latin America and Asia. Its business is built on the underwriting capabilities of its title insurance operations combined with comprehensive closing and escrow services for homebuyers, sellers, mortgage lenders and real estate professionals.

The company's title insurance segment issues policies that protect property owners and mortgage lenders against defects in titles, liens or encumbrances that can arise during real property transactions.

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