First American Financial (FAF) Stock Price, News & Analysis

Company Overview

First American Financial Corporation (NYSE: FAF) provides title insurance, settlement services and related real estate transaction solutions. Through its title insurance operations, the company protects property buyers, lenders and other parties against certain losses arising from defects in title, liens and other issues affecting ownership or mortgage interests.

The company also offers escrow and closing services, title search and examination, property information, valuation, mortgage subservicing and other technology-enabled solutions for the real estate and mortgage industries. Its products and services support residential and commercial transactions, as well as lenders, real estate professionals, homebuilders and developers.

First American traces its history to the founding of First American Title Insurance Company in 1889 and became an independent publicly traded company in 2010 following the separation of First American Corporation's financial services businesses. Headquartered in Santa Ana, California, the company primarily serves customers in the United States and also has operations in Canada. Kenneth D. DeGiorgio serves as president and chief executive officer.

Key Stats

• Today's Range: $60.86 to $61.74
• 50-Day Range: $60.85 to $76.57
• 52-Week Range: $56.20 to $79.87
• Volume: 49,722 shs
• Average Volume: 953,411 shs
• Market Capitalization: $6.24 billion
• P/E Ratio: 8.47
• Dividend Yield: 3.99%
• Price Target: $83.80
• Consensus Rating: Moderate Buy

First American Financial Stock Analysis - MarketRank™

First American Financial scored higher than 98% of companies evaluated by MarketBeat, and ranked 37th out of 854 stocks in the finance sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 4.2 / 5
• Analyst Rating: Moderate Buy

Consensus Rating

First American Financial has received a consensus rating of Moderate Buy. The company's average rating score is 2.88, and is based on no strong buy ratings, 7 buy ratings, 1 hold rating, and no sell ratings.

Upside Potential

First American Financial has a consensus price target of $83.80, representing about 37.7% upside from its current price of $60.85.

Amount of Analyst Coverage

First American Financial has only been the subject of 4 research reports in the past 90 days.

Earnings and Valuation

• Score: 3.1 / 5
• Proj. Earnings Growth: 4.35%

Earnings Growth

Earnings for First American Financial are expected to grow by 4.35% in the coming year, from $7.12 to $7.43 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of First American Financial is 8.43, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 38.91.

Price to Earnings Ratio vs. Sector

The P/E ratio of First American Financial is 8.43, which means that it is trading at a less expensive P/E ratio than the Finance sector average P/E ratio of about 24.70.

Price to Earnings Growth Ratio

First American Financial has a PEG Ratio of 0.56. PEG Ratios below 1 indicate that a company could be undervalued.

Price to Book Value per Share Ratio

First American Financial has a P/B Ratio of 1.12. P/B Ratios below 3 indicates that a company is reasonably valued with respect to its assets and liabilities.

Short Interest

• Score: 1.0 / 5
• Short Interest Level: Bearish

Percentage of Shares Shorted

6.35% of the float of First American Financial has been sold short.

Short Interest Ratio / Days to Cover

First American Financial has a short interest ratio ("days to cover") of 5.48.

Change versus previous month

Short interest in First American Financial has recently increased by 3.56%, indicating that investor sentiment is decreasing.

Dividend

• Score: 5.0 / 5
• Dividend Strength: Strong

Dividend Leadership

First American Financial is a leading dividend payer. It pays a dividend yield of 3.99%, putting its dividend yield in the top 25% of dividend-paying stocks.

Dividend Growth

First American Financial has been increasing its dividend for 15 years.

Dividend Coverage

The dividend payout ratio of First American Financial is 33.80%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, First American Financial will have a dividend payout ratio of 32.84% next year. This indicates that First American Financial will be able to sustain or increase its dividend.

News and Social Media

• Score: 2.6 / 5
• News Sentiment: 0.20

News Sentiment

First American Financial has a news sentiment score of 0.20. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a lower news sentiment than the 0.65 average news sentiment score of Finance companies.

News Coverage This Week

MarketBeat has tracked 4 news articles for First American Financial this week, compared to 6 articles on an average week.

Search Interest

2 people have searched for FAF on MarketBeat in the last 30 days.

MarketBeat Follows

8 people have added First American Financial to their MarketBeat watchlist in the last 30 days. This is an increase of 700% compared to the previous 30 days.

Company Ownership

• Score: 1.6 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, First American Financial insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $243,942.00 in company stock.

Percentage Held by Insiders

3.50% of the stock of First American Financial is held by insiders.

Percentage Held by Institutions

89.05% of the stock of First American Financial is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

Company Calendar

• Last Earnings: 7/22/2026
• Record date for 10/5 Dividend: 9/28/2026
• Ex-Dividend for 10/5 Dividend: 9/28/2026
• Dividend Payable: 10/05/2026
• Today: 10/13/2026
• Next Earnings (Estimated): 10/21/2026
• Fiscal Year End: 12/31/2026

Industry, Sector and Symbol

• Stock Exchange: NYSE
• Sector: Finance
• Industry: Insurance
• Sub-Industry: Property & Casualty Insurance
• Current Symbol: NYSE:FAF
• CIK: 1472787
• Web: www.firstam.com
• Phone: (714) 250-3000
• Fax: 714-541-6372
• Employees: 19,102
• Year Founded: 1889

Price Target and Rating

• Average Price Target for First American Financial: $83.80
• High Price Target: $86.00
• Low Price Target: $79.00
• Potential Upside/Downside: +37.1%
• Consensus Rating: Moderate Buy
• Rating Score (0-4): 2.88
• Research Coverage: 8 Analysts

Profitability

• EPS (Trailing Twelve Months): $7.22
• Trailing P/E Ratio: 8.47
• Forward P/E Ratio: 8.59
• P/E Growth: 0.56
• Net Income: $621.80 million
• Net Margins: 9.33%
• Pretax Margin: 12.28%
• Return on Equity: 13.31%
• Return on Assets: 4.14%

Debt

• Debt-to-Equity Ratio: N/A
• Current Ratio: 1.18
• Quick Ratio: 1.18

Sales & Book Value

• Annual Sales: $7.45 billion
• Price / Sales: 0.84
• Cash Flow: $7.82 per share
• Price / Cash Flow: 7.82
• Book Value: $54.21 per share
• Price / Book: 1.13

Miscellaneous

• Outstanding Shares: 102,100,000
• Free Float: 98,527,000
• Market Cap: $6.24 billion
• Optionable: Optionable
• Beta: 1.24