WBI Investments LLC Acquires Shares of 38,157 First American Financial Corporation $FAF

Key Points

• WBI Investments LLC has acquired 38,157 shares of First American Financial Corporation, valued at approximately $2.5 million, as reported in its recent SEC filing.
• First American Financial announced a dividend increase to $0.55 per share, up from $0.54, alongside a new stock repurchase program allowing for up to $300 million in buybacks.
• The company reported better-than-expected earnings of $1.53 per share, surpassing analyst estimates and showing a 14.2% increase in revenue year-over-year.

WBI Investments LLC acquired a new stake in shares of First American Financial Corporation (NYSE:FAF - Free Report) in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund acquired 38,157 shares of the insurance provider's stock, valued at approximately $2,504,000.

Several other institutional investors have also added to or reduced their stakes in FAF. Alpine Bank Wealth Management acquired a new position in First American Financial during the first quarter valued at approximately $28,000. Richardson Capital Management LLC acquired a new position in First American Financial during the first quarter valued at approximately $39,000. Versant Capital Management Inc increased its holdings in shares of First American Financial by 645.7% during the first quarter. Versant Capital Management Inc now owns 962 shares of the insurance provider's stock worth $63,000 after buying an additional 833 shares in the last quarter. Ransom Advisory Ltd acquired a new position in shares of First American Financial during the first quarter worth $66,000. Finally, UMB Bank n.a. increased its holdings in shares of First American Financial by 132.1% during the first quarter. UMB Bank n.a. now owns 1,216 shares of the insurance provider's stock worth $80,000 after buying an additional 692 shares in the last quarter. 89.05% of the stock is currently owned by institutional investors and hedge funds.

First American Financial Stock Down 0.9%

Shares of First American Financial stock opened at $66.14 on Thursday. First American Financial Corporation has a twelve month low of $53.09 and a twelve month high of $70.92. The stock has a market cap of $6.73 billion, a price-to-earnings ratio of 36.54 and a beta of 1.27. The company's fifty day moving average is $62.38 and its 200 day moving average is $61.35.

First American Financial (NYSE:FAF - Get Free Report) last issued its quarterly earnings data on Wednesday, July 23rd. The insurance provider reported $1.53 earnings per share for the quarter, topping the consensus estimate 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 company had revenue of $1.84 billion for the quarter, compared to analysts' expectations of $1.78 billion. During the same quarter in the previous year, the firm posted $1.27 earnings per share. First American Financial's revenue for the quarter was up 14.2% on a year-over-year basis. As a group, equities 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 authorized a stock repurchase program on Wednesday, July 23rd that allows the company to repurchase $300.00 million in outstanding shares. This repurchase authorization allows the insurance provider to reacquire up to 5.1% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company's leadership believes its stock is undervalued.

First American Financial Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, September 29th. Investors of record on Monday, September 22nd will be paid a $0.55 dividend. This is a boost from First American Financial's previous quarterly dividend of $0.54. This represents a $2.20 annualized dividend and a dividend yield of 3.3%. First American Financial's payout ratio is currently 119.34%.

Insider Buying and Selling at First American Financial

In related 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 is available through the SEC website. 3.70% of the stock is currently owned by corporate insiders.

Wall Street Analysts Forecast Growth

Several brokerages have recently issued reports on FAF. Barclays lowered 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. Keefe, Bruyette & Woods upped their price target on shares of First American Financial from $77.00 to $79.00 and gave the stock an "outperform" rating in a report on Monday, July 28th. Finally, Wall Street Zen upgraded shares of First American Financial from a "hold" rating to a "buy" rating in a report on Saturday, August 9th. Three equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $75.00.

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.

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