First Advantage (NYSE:FA) Earns "Hold" Rating from Needham & Company LLC

Key Points

• Needham & Company LLC has reaffirmed its "hold" rating for First Advantage (NYSE:FA), amidst mixed feedback from other analysts.
• Royal Bank of Canada downgraded its rating from "outperform" to "sector perform"** with a price target of $20, while Barclays raised its target from $15 to $18.
• First Advantage reported a 111.7% increase in revenue year-over-year and exceeded earnings expectations for the last quarter, indicating strong business growth potential.

First Advantage (NYSE:FA - Get Free Report)'s stock had its "hold" rating reissued by investment analysts at Needham & Company LLC in a report released on Thursday,Benzinga reports.

Several other equities analysts also recently weighed in on the stock. Barclays lifted their price target on shares of First Advantage from $15.00 to $18.00 and gave the company an "equal weight" rating in a report on Thursday, May 29th. Royal Bank Of Canada downgraded shares of First Advantage from an "outperform" rating to a "sector perform" rating and set a $20.00 price target on the stock. in a report on Friday, May 9th. Two research analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to MarketBeat.com, First Advantage currently has an average rating of "Hold" and a consensus target price of $20.25.

First Advantage Stock Performance

NYSE FA traded down $0.07 during trading hours on Thursday, hitting $16.60. 196,798 shares of the company's stock traded hands, compared to its average volume of 1,055,096. The business's fifty day moving average price is $17.05 and its two-hundred day moving average price is $16.28. The company has a current ratio of 3.85, a quick ratio of 3.85 and a debt-to-equity ratio of 0.61. The firm has a market capitalization of $2.89 billion, a P/E ratio of 553.33 and a beta of 1.24. First Advantage has a 52 week low of $12.32 and a 52 week high of $20.79.

First Advantage (NYSE:FA - Get Free Report) last announced its earnings results on Thursday, August 7th. The company reported $0.27 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.24 by $0.03. First Advantage had a net margin of 0.65% and a return on equity of 13.16%. First Advantage's revenue for the quarter was up 111.7% on a year-over-year basis. During the same quarter last year, the business earned $0.21 earnings per share. First Advantage has set its FY 2025 guidance at 0.860-1.030 EPS. Equities research analysts predict that First Advantage will post 0.74 EPS for the current year.

Institutional Investors Weigh In On First Advantage

Several large investors have recently bought and sold shares of FA. Tower Research Capital LLC TRC increased its position in First Advantage by 503.2% during the second quarter. Tower Research Capital LLC TRC now owns 7,932 shares of the company's stock valued at $132,000 after acquiring an additional 6,617 shares during the last quarter. Two Sigma Securities LLC purchased a new stake in First Advantage in the second quarter worth about $636,000. Onex Canada Asset Management Inc. increased its holdings in First Advantage by 7.0% in the 2nd quarter. Onex Canada Asset Management Inc. now owns 531,169 shares of the company's stock worth $8,823,000 after buying an additional 34,543 shares during the period. Palisade Capital Management LP increased its holdings in First Advantage by 9.0% in the 2nd quarter. Palisade Capital Management LP now owns 1,704,021 shares of the company's stock worth $28,304,000 after buying an additional 141,212 shares during the period. Finally, Man Group plc acquired a new position in First Advantage in the 2nd quarter worth approximately $735,000. Institutional investors own 94.91% of the company's stock.

First Advantage Company Profile

First Advantage Corporation provides employment background screening, identity, and verification solutions worldwide. It offers pre-onboarding products and solutions, such as criminal background checks, drug/health screening, extended workforce screening, FBI channeling, identity checks and biometric fraud mitigation tools, education/work history verification, driver records and compliance, healthcare credentials, executive screening, and other screening products.