Pallas Capital Advisors LLC Sells 4,276 Shares of First American Financial Corporation $FAF

Key Points

• Pallas Capital Advisors LLC reduced its holdings in First American Financial Corporation by 54.2%, selling 4,276 shares and now owns 3,608 shares valued at $221,000.
• First American Financial reported quarterly earnings of $1.53 EPS, exceeding estimates, with revenue up 14.2% year-over-year.
• The company announced a $300 million stock repurchase plan and increased its quarterly dividend from $0.54 to $0.55 per share, reflecting management's confidence in the stock's value.

Pallas Capital Advisors LLC reduced its holdings in First American Financial Corporation (NYSE:FAF - Free Report) by 54.2% during the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 3,608 shares of the insurance provider's stock after selling 4,276 shares during the period. Pallas Capital Advisors LLC's holdings in First American Financial were worth $221,000 as of its most recent SEC filing.

Other large investors have also bought and sold shares of the company. ProShare Advisors LLC raised its position in shares of First American Financial by 7.4% during the 4th quarter. ProShare Advisors LLC now owns 4,818 shares of the insurance provider's stock valued at $301,000 after acquiring an additional 333 shares during the last quarter. Squarepoint Ops LLC acquired a new stake in shares of First American Financial during the fourth quarter worth $1,642,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its stake in shares of First American Financial by 16.1% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 386,546 shares of the insurance provider's stock worth $24,136,000 after purchasing an additional 53,633 shares during the period. Public Employees Retirement System of Ohio grew its stake in shares of First American Financial by 1.1% during the fourth quarter. Public Employees Retirement System of Ohio now owns 36,697 shares of the insurance provider's stock worth $2,291,000 after purchasing an additional 389 shares during the period. Finally, Forum Financial Management LP acquired a new stake in shares of First American Financial in the 4th quarter valued at approximately $235,000. 89.05% of the stock is currently owned by institutional investors and hedge funds.

First American Financial Price Performance

FAF opened at $65.57 on Tuesday. The business's 50-day moving average price is $63.46 and its two-hundred day moving average price is $61.43. First American Financial Corporation has a 1 year low of $53.09 and a 1 year high of $70.92. The company has a market capitalization of $6.68 billion, a price-to-earnings ratio of 36.23 and a beta of 1.26.

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

First American Financial announced that its Board of Directors has initiated a stock repurchase plan on Wednesday, July 23rd that allows the company to repurchase $300.00 million in outstanding shares. This repurchase authorization allows the insurance provider to repurchase up to 5.1% of its stock through open market purchases. Stock repurchase plans are often a sign that the company's management believes its shares are undervalued.

First American Financial Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, September 29th. Shareholders of record on Monday, September 22nd will be given a dividend of $0.55 per share. This is an increase from First American Financial's previous quarterly dividend of $0.54. The ex-dividend date of this dividend is Monday, September 22nd. This represents a $2.20 dividend on an annualized basis and a yield of 3.4%. First American Financial's payout ratio is currently 119.34%.

Insider Activity at First American Financial

In other news, Director Margaret M. Mccarthy sold 3,500 shares of the business's stock in a transaction on Wednesday, August 13th. The shares were sold at an average price of $65.63, for a total value of $229,705.00. Following the sale, the director owned 28,095 shares of the company's stock, valued at $1,843,874.85. The trade was a 11.08% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 3.70% of the stock is currently owned by corporate insiders.

Analyst Upgrades and Downgrades

Several equities research analysts have commented on the stock. Wall Street Zen raised shares of First American Financial from a "hold" rating to a "buy" rating in a research note on Saturday, August 9th. Keefe, Bruyette & Woods boosted their price target on shares of First American Financial from $77.00 to $79.00 and gave the company an "outperform" rating in a report on Monday, July 28th. Finally, Barclays reduced their target price on 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 research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $75.00.

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.

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