Versor Investments LP Boosts Holdings in First American Financial Corporation $FAF

Key Points

• Versor Investments LP increased its stake in First American Financial Corporation by 750.1% in the first quarter, holding 34,540 shares valued at approximately $2.27 million.
• First American Financial reported $1.53 EPS for the quarter, exceeding analyst expectations of $1.40, and announced a $300 million share repurchase plan.
• Analysts have rated the stock with an average target price of $75.00, with upgrades from various firms, including a rise from "hold" to "buy" by Wall Street Zen.

Versor Investments LP increased its stake in shares of First American Financial Corporation (NYSE:FAF - Free Report) by 750.1% in the first quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 34,540 shares of the insurance provider's stock after acquiring an additional 30,477 shares during the quarter. Versor Investments LP's holdings in First American Financial were worth $2,267,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently modified their holdings of FAF. Boston Partners boosted its position in shares of First American Financial by 23.0% during the first quarter. Boston Partners now owns 4,692,258 shares of the insurance provider's stock worth $307,181,000 after acquiring an additional 876,874 shares during the last quarter. Lazard Asset Management LLC boosted its position in shares of First American Financial by 500.7% during the fourth quarter. Lazard Asset Management LLC now owns 1,003,327 shares of the insurance provider's stock worth $62,646,000 after acquiring an additional 836,314 shares during the last quarter. Capital International Investors bought a new position in shares of First American Financial during the fourth quarter worth $41,626,000. Ariel Investments LLC boosted its position in shares of First American Financial by 9.9% during the fourth quarter. Ariel Investments LLC now owns 3,993,155 shares of the insurance provider's stock worth $249,333,000 after acquiring an additional 359,777 shares during the last quarter. Finally, Nuveen LLC bought a new position in shares of First American Financial during the first quarter worth $20,636,000. Institutional investors own 89.05% of the company's stock.

First American Financial Trading Up 3.5%

NYSE FAF traded up $2.2920 on Friday, hitting $66.9520. 240,071 shares of the company's stock traded hands, compared to its average volume of 892,300. First American Financial Corporation has a 1-year low of $53.09 and a 1-year high of $70.92. The firm's 50-day moving average price is $60.63 and its two-hundred day moving average price is $61.10. The firm has a market capitalization of $6.82 billion, a PE ratio of 37.02 and a beta of 1.24.

First American Financial (NYSE:FAF - Get Free Report) last announced its quarterly earnings results 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. First American Financial had a net margin of 2.90% and a return on equity of 10.41%. The firm had revenue of $1.84 billion for the quarter, compared to the consensus estimate of $1.78 billion. During the same period in the prior year, the firm posted $1.27 earnings per share. The firm's quarterly revenue was up 14.2% compared to the same quarter last year. On average, research analysts anticipate that First American Financial Corporation will post 5.35 earnings per share for the current fiscal year.

First American Financial declared that its board has initiated a stock buyback plan on Wednesday, July 23rd that authorizes the company to buyback $300.00 million in outstanding shares. This buyback authorization authorizes the insurance provider to purchase up to 5.1% of its shares through open market purchases. Shares buyback plans are usually an indication that the company's leadership believes its stock is undervalued.

Analysts Set New Price Targets

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

Insiders Place Their Bets

In other First American Financial news, Director Margaret M. Mccarthy sold 3,500 shares of the stock in a transaction on Wednesday, August 13th. The shares were sold at an average price of $65.63, for a total transaction of $229,705.00. Following the transaction, the director directly owned 28,095 shares of the company's stock, valued at $1,843,874.85. This trade represents a 11.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 3.70% of the company's stock.

First American Financial 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.