Vanguard Group Inc. Sells 81,409 Shares of First American Financial Corporation $FAF

Key Points

• Vanguard Group trimmed its position by 0.8%, selling 81,409 shares and now holds 10,187,929 shares (about a 10.00% stake) in First American, valued at roughly $625.9 million.
• First American beat estimates for the quarter with EPS of $1.33 versus $1.06 expected and revenue of $1.85 billion (up 16.2% year-over-year); analysts project about $6.72 in EPS for the fiscal year.
• Brokerages have been upgrading the stock and raising targets; the consensus rating is Buy with an average price target of $82.50, above the recent share price (~$68.49).

Vanguard Group Inc. lessened its position in First American Financial Corporation (NYSE:FAF - Free Report) by 0.8% in the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 10,187,929 shares of the insurance provider's stock after selling 81,409 shares during the quarter. Vanguard Group Inc. owned 10.00% of First American Financial worth $625,946,000 at the end of the most recent reporting period.

Other institutional investors have also recently made changes to their positions in the company. V Square Quantitative Management LLC bought a new stake in shares of First American Financial in the 4th quarter worth about $27,000. SJS Investment Consulting Inc. lifted its holdings in shares of First American Financial by 2,887.5% in the 3rd quarter. SJS Investment Consulting Inc. now owns 478 shares of the insurance provider's stock worth $31,000 after acquiring an additional 462 shares during the last quarter. First Horizon Corp bought a new stake in shares of First American Financial in the 3rd quarter worth about $37,000. Danske Bank A S bought a new stake in First American Financial during the 3rd quarter valued at about $45,000. Finally, Advisory Services Network LLC bought a new stake in First American Financial during the 3rd quarter valued at about $52,000. Institutional investors own 89.05% of the company's stock.

First American Financial Price Performance

Shares of FAF opened at $68.49 on Monday. First American Financial Corporation has a 1-year low of $53.09 and a 1-year high of $71.47. The company has a 50-day moving average of $64.58 and a 200 day moving average of $63.72. The firm has a market capitalization of $6.98 billion, a price-to-earnings ratio of 10.52, a PEG ratio of 0.67 and a beta of 1.28.

First American Financial (NYSE:FAF - Get Free Report) last posted its quarterly earnings results on Wednesday, April 22nd. The insurance provider reported $1.33 EPS for the quarter, beating the consensus estimate of $1.06 by $0.27. First American Financial had a net margin of 8.73% and a return on equity of 12.58%. The business had revenue of $1.85 billion during the quarter, compared to analyst estimates of $1.80 billion. During the same quarter in the previous year, the business posted $0.84 EPS. The company's quarterly revenue was up 16.2% compared to the same quarter last year. On average, equities analysts anticipate that First American Financial Corporation will post 6.72 earnings per share for the current fiscal year.

Insider Activity

In other news, Director Margaret M. Mccarthy sold 6,630 shares of the business's stock in a transaction dated Friday, April 24th. The shares were sold at an average price of $70.59, for a total value of $468,011.70. Following the completion of the sale, the director owned 24,024 shares in the company, valued at approximately $1,695,854.16. The trade was a 21.63% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Parker S. Kennedy acquired 44,841 shares of the business's stock in a transaction dated Tuesday, February 17th. The stock was purchased at an average cost of $67.85 per share, for a total transaction of $3,042,461.85. Following the transaction, the director owned 251,552 shares in the company, valued at approximately $17,067,803.20. The trade was a 21.69% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders own 3.50% of the company's stock.

Analysts Set New Price Targets

A number of brokerages recently weighed in on FAF. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating on shares of First American Financial in a report on Friday, February 13th. Zacks Research upgraded shares of First American Financial from a "hold" rating to a "strong-buy" rating in a report on Monday, April 27th. Weiss Ratings upgraded shares of First American Financial from a "buy (b-)" rating to a "buy (b)" rating in a report on Wednesday, April 22nd. Stephens lifted their price objective on shares of First American Financial from $81.00 to $84.00 and gave the company an "overweight" rating in a report on Monday, April 27th. Finally, Barclays lifted their price objective on shares of First American Financial from $72.00 to $80.00 and gave the company an "overweight" rating in a report on Friday, April 24th. One investment analyst has rated the stock with a Strong Buy rating and six have issued a Buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Buy" and an average target price of $82.50.

First American Financial 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.

Want to see what other hedge funds are holding FAF? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for First American Financial Corporation (NYSE:FAF - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.