First American Financial (FAF) Competitors

First American Financial (NYSE:FAF) and Erie Indemnity (NASDAQ:ERIE) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, valuation, profitability, media sentiment, earnings, dividends, analyst recommendations, community ranking and institutional ownership.

Is FAF or ERIE more profitable?

Erie Indemnity has a net margin of 15.16% compared to First American Financial's net margin of 2.14%. Erie Indemnity's return on equity of 31.22% beat First American Financial's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
First American Financial	2.14%	9.35%	3.00%
Erie Indemnity	15.16%	31.22%	21.14%

Which has more volatility and risk, FAF or ERIE?

First American Financial has a beta of 1.22, meaning that its stock price is 22% more volatile than the S&P 500. Comparatively, Erie Indemnity has a beta of 0.37, meaning that its stock price is 63% less volatile than the S&P 500.

Do analysts recommend FAF or ERIE?

First American Financial currently has a consensus target price of $75.00, indicating a potential upside of 27.08%. Given First American Financial's stronger consensus rating and higher probable upside, research analysts clearly believe First American Financial is more favorable than Erie Indemnity.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First American Financial	0 Sell rating(s)	1 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.75
Erie Indemnity	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00

Does the MarketBeat Community believe in FAF or ERIE?

First American Financial received 46 more outperform votes than Erie Indemnity when rated by MarketBeat users. However, 63.42% of users gave Erie Indemnity an outperform vote while only 60.42% of users gave First American Financial an outperform vote.

Company	Underperform	Outperform
First American Financial	Outperform Votes 287 60.42%	Underperform Votes 188 39.58%
Erie Indemnity	Outperform Votes 241 63.42%	Underperform Votes 139 36.58%

Is FAF or ERIE a better dividend stock?

First American Financial pays an annual dividend of $2.16 per share and has a dividend yield of 3.7%. Erie Indemnity pays an annual dividend of $5.46 per share and has a dividend yield of 1.5%. First American Financial pays out 143.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Erie Indemnity pays out 46.5% of its earnings in the form of a dividend. First American Financial has raised its dividend for 15 consecutive years and Erie Indemnity has raised its dividend for 36 consecutive years.

Do institutionals and insiders believe in FAF or ERIE?

89.1% of First American Financial shares are held by institutional investors. Comparatively, 33.7% of Erie Indemnity shares are held by institutional investors. 3.7% of First American Financial shares are held by insiders. Comparatively, 45.8% of Erie Indemnity shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Which has stronger earnings and valuation, FAF or ERIE?

Erie Indemnity has lower revenue, but higher earnings than First American Financial. Erie Indemnity is trading at a lower price-to-earnings ratio than First American Financial, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First American Financial	$6.28B	0.97	$131.10M	$1.51	39.09
Erie Indemnity	$3.99B	4.11	$446.06M	$11.75	30.21

Does the media favor FAF or ERIE?

In the previous week, First American Financial had 3 more articles in the media than Erie Indemnity. MarketBeat recorded 6 mentions for First American Financial and 3 mentions for Erie Indemnity. First American Financial's average media sentiment score of 1.01 beat Erie Indemnity's score of 0.53 indicating that First American Financial is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
First American Financial	4 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Positive
Erie Indemnity	0 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Summary

First American Financial beats Erie Indemnity on 11 of the 21 factors compared between the two stocks.