Zacks Research Has Positive Estimate for FAF Q2 Earnings

Key Points

• Zacks Research raised its Q2 2027 EPS estimate for First American Financial to $2.02 from $2.00, while keeping a Hold rating on the stock. The firm also forecast Q1 2028 EPS of $1.29.
• Analyst sentiment remains generally positive, with six Buy ratings and one Hold rating, giving FAF an average “Moderate Buy” rating and a consensus target price of $82.50.
• First American Financial recently beat quarterly expectations, reporting $1.33 EPS versus $1.06 expected and revenue of $1.85 billion versus $1.80 billion expected, while also paying a $0.55 quarterly dividend.

First American Financial Corporation (NYSE:FAF - Free Report) - Analysts at Zacks Research upped their Q2 2027 EPS estimates for First American Financial in a research report issued on Wednesday, June 24th. Zacks Research analyst Team now forecasts that the insurance provider will earn $2.02 per share for the quarter, up from their previous forecast of $2.00. Zacks Research has a "Hold" rating on the stock. The consensus estimate for First American Financial's current full-year earnings is $6.81 per share. Zacks Research also issued estimates for First American Financial's Q1 2028 earnings at $1.29 EPS.

A number of other equities research analysts have also recently issued reports on FAF. Stephens reissued an "overweight" rating and set a $84.00 target price on shares of First American Financial in a report on Friday, June 12th. Barclays raised their price target on First American Financial from $72.00 to $80.00 and gave the stock an "overweight" rating in a report on Friday, April 24th. Wall Street Zen lowered First American Financial from a "buy" rating to a "hold" rating in a research note on Saturday, May 2nd. Truist Financial boosted their price objective on First American Financial from $82.00 to $85.00 and gave the company a "buy" rating in a research note on Friday, April 24th. Finally, Weiss Ratings raised First American Financial from a "buy (b-)" rating to a "buy (b)" rating in a report on Wednesday, April 22nd. Six analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $82.50.

First American Financial Trading Down 3.5%

FAF opened at $67.01 on Thursday. The company has a 50 day moving average of $67.41 and a 200 day moving average of $64.84. The company has a market cap of $6.83 billion, a PE ratio of 10.29, a price-to-earnings-growth ratio of 0.67 and a beta of 1.24. First American Financial has a 12 month low of $53.09 and a 12 month high of $71.47.

First American Financial (NYSE:FAF - Get Free Report) last posted its earnings results on Wednesday, April 22nd. The insurance provider reported $1.33 earnings per share for the quarter, topping the consensus estimate of $1.06 by $0.27. The firm had revenue of $1.85 billion during the quarter, compared to the consensus estimate of $1.80 billion. First American Financial had a net margin of 8.73% and a return on equity of 12.58%. The company's revenue was up 16.2% on a year-over-year basis. During the same quarter last year, the company earned $0.84 earnings per share.

First American Financial Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, June 15th. Stockholders of record on Monday, June 8th were issued a $0.55 dividend. The ex-dividend date of this dividend was Monday, June 8th. This represents a $2.20 annualized dividend and a dividend yield of 3.3%. First American Financial's dividend payout ratio is presently 33.79%.

Insider Buying and Selling at First American Financial

In related news, SVP Lisa W. Cornehl sold 5,823 shares of the business's stock in a transaction dated Tuesday, May 5th. The stock was sold at an average price of $68.63, for a total transaction of $399,632.49. Following the completion of the transaction, the senior vice president directly owned 29,635 shares in the company, valued at $2,033,850.05. The trade was a 16.42% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Margaret M. Mccarthy sold 6,630 shares of the company's stock in a transaction dated Friday, April 24th. The stock was sold at an average price of $70.59, for a total value of $468,011.70. Following the completion of the transaction, the director owned 24,024 shares in the company, valued at $1,695,854.16. This represents a 21.63% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 3.50% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the business. Boston Partners raised its stake in First American Financial by 8.9% in the third quarter. Boston Partners now owns 6,133,594 shares of the insurance provider's stock valued at $393,690,000 after purchasing an additional 500,649 shares in the last quarter. Northwestern Mutual Wealth Management Co. grew its stake in First American Financial by 4,485,375.2% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 5,786,263 shares of the insurance provider's stock worth $355,508,000 after buying an additional 5,786,134 shares in the last quarter. Dimensional Fund Advisors LP increased its holdings in shares of First American Financial by 5.6% in the 1st quarter. Dimensional Fund Advisors LP now owns 4,636,464 shares of the insurance provider's stock worth $279,529,000 after buying an additional 245,279 shares during the last quarter. Capital Research Global Investors raised its position in shares of First American Financial by 3.3% during the 4th quarter. Capital Research Global Investors now owns 3,415,825 shares of the insurance provider's stock valued at $209,868,000 after buying an additional 109,242 shares in the last quarter. Finally, Geode Capital Management LLC raised its position in shares of First American Financial by 1.1% during the 4th quarter. Geode Capital Management LLC now owns 1,793,179 shares of the insurance provider's stock valued at $110,200,000 after buying an additional 19,752 shares in the last quarter. Hedge funds and other institutional investors own 89.05% of the company's stock.

First American Financial Company 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.

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