What is Zacks Research's Estimate for FAF FY2025 Earnings?

Key Points

• Zacks Research has raised its FY2025 EPS estimate for First American Financial to $5.08, up from a prior forecast of $4.98, while the consensus estimate is $5.35 per share.
• The company has approved a stock buyback plan amounting to $300 million, allowing repurchase of up to 5.1% of its shares, indicating management's belief that the stock is undervalued.
• In mid-day trading, First American Financial's stock was down 0.9% at $65.50, with a recent market capitalization of $6.67 billion.

First American Financial Corporation (NYSE:FAF - Free Report) - Stock analysts at Zacks Research upped their FY2025 earnings per share estimates for shares of First American Financial in a note issued to investors on Tuesday, August 12th. Zacks Research analyst T. De now expects that the insurance provider will post earnings per share of $5.08 for the year, up from their prior estimate of $4.98. The consensus estimate for First American Financial's current full-year earnings is $5.35 per share. Zacks Research also issued estimates for First American Financial's Q1 2026 earnings at $0.95 EPS.

Several other research firms have also issued reports on FAF. Keefe, Bruyette & Woods raised their price target on First American Financial from $77.00 to $79.00 and gave the stock 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 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. Three equities research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $75.00.

First American Financial Trading Up 0.9%

Shares of NYSE:FAF traded up $0.6060 on Thursday, reaching $64.5360. 90,610 shares of the company traded hands, compared to its average volume of 901,179. First American Financial has a 52 week low of $53.09 and a 52 week high of $70.92. The business's 50-day simple moving average is $60.26 and its 200 day simple moving average is $61.03. The stock has a market capitalization of $6.57 billion, a P/E ratio of 35.65 and a beta of 1.24.

First American Financial (NYSE:FAF - Get Free Report) last posted its quarterly earnings results on Wednesday, July 23rd. The insurance provider reported $1.53 EPS 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 firm had revenue of $1.84 billion for the quarter, compared to the consensus estimate of $1.78 billion. During the same period last year, the firm posted $1.27 earnings per share. The business's revenue was up 14.2% compared to the same quarter last year.

First American Financial declared that its board has authorized a share repurchase program on Wednesday, July 23rd that allows the company to repurchase $300.00 million in 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 often a sign that the company's management believes its stock is undervalued.

Insider Activity

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

Institutional Trading of First American Financial

A number of institutional investors and hedge funds have recently modified their holdings of the business. ProShare Advisors LLC lifted its position in shares of First American Financial by 3.9% during the second quarter. ProShare Advisors LLC now owns 4,561 shares of the insurance provider's stock valued at $280,000 after buying an additional 172 shares during the last quarter. Adams Wealth Management increased its stake in shares of First American Financial by 1.9% in the first quarter. Adams Wealth Management now owns 10,983 shares of the insurance provider's stock worth $721,000 after acquiring an additional 207 shares during the period. CacheTech Inc. grew its holdings in First American Financial by 1.9% during the first quarter. CacheTech Inc. now owns 10,983 shares of the insurance provider's stock worth $721,000 after acquiring an additional 207 shares during the period. Treasurer of the State of North Carolina boosted its holdings in First American Financial by 0.5% during the second quarter. Treasurer of the State of North Carolina now owns 45,932 shares of the insurance provider's stock worth $2,820,000 after buying an additional 220 shares in the last quarter. Finally, American Century Companies Inc. increased its holdings in First American Financial by 0.5% in the first quarter. American Century Companies Inc. now owns 43,006 shares of the insurance provider's stock valued at $2,823,000 after buying an additional 229 shares in the last quarter. Institutional investors own 89.05% of the company's stock.

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.