First American Financial Co. (NYSE:FAF) Receives Average Recommendation of “Moderate Buy” from Analysts

First American Financial Co. (NYSE:FAF) has earned a consensus rating of “Moderate Buy” from the five research firms that are currently covering the company, Marketbeat reports. One analyst has rated the stock with a hold recommendation and four have assigned a buy recommendation to the company. The average 1-year price objective among analysts that have updated their coverage on the stock in the last year is $69.00.

A number of brokerages recently weighed in on FAF. Truist Financial raised their price target on shares of First American Financial from $65.00 to $68.00 and gave the company a “buy” rating in a research note on Friday, July 26th. Keefe, Bruyette & Woods lifted their price target on First American Financial from $66.00 to $72.00 and gave the stock an “outperform” rating in a research note on Wednesday, September 4th. Stephens reissued an “overweight” rating and issued a $66.00 price objective on shares of First American Financial in a research note on Thursday, July 25th. Finally, Barclays lifted their target price on shares of First American Financial from $61.00 to $70.00 and gave the stock an “equal weight” rating in a research note on Tuesday, October 8th.

First American Financial Price Performance

First American Financial stock opened at $66.89 on Tuesday. The stock has a market capitalization of $6.94 billion, a PE ratio of 32.00 and a beta of 1.29. The business has a 50 day simple moving average of $64.44 and a 200-day simple moving average of $58.94. First American Financial has a 12 month low of $49.55 and a 12 month high of $67.88.

First American Financial (NYSE:FAF) last issued its quarterly earnings results on Wednesday, July 24th. The insurance provider reported $1.27 EPS for the quarter, topping the consensus estimate of $1.13 by $0.14. First American Financial had a net margin of 3.28% and a return on equity of 7.98%. The company had revenue of $1.61 billion during the quarter, compared to analyst estimates of $1.62 billion. During the same quarter in the previous year, the firm earned $1.35 EPS. The firm’s revenue was down 2.1% compared to the same quarter last year. On average, equities research analysts anticipate that First American Financial will post 3.89 EPS for the current fiscal year.

First American Financial Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, September 27th. Shareholders of record on Friday, September 20th were paid a $0.54 dividend. The ex-dividend date of this dividend was Friday, September 20th. This is an increase from First American Financial’s previous quarterly dividend of $0.53. This represents a $2.16 dividend on an annualized basis and a dividend yield of 3.23%. First American Financial’s dividend payout ratio (DPR) is 103.35%.

Hedge Funds Weigh In On First American Financial

A number of institutional investors have recently bought and sold shares of the company. Custom Index Systems LLC increased its holdings in shares of First American Financial by 2.3% during the 2nd quarter. Custom Index Systems LLC now owns 8,218 shares of the insurance provider’s stock worth $443,000 after buying an additional 182 shares during the last quarter. Pacer Advisors Inc. raised its position in First American Financial by 1.2% in the second quarter. Pacer Advisors Inc. now owns 15,560 shares of the insurance provider’s stock valued at $839,000 after purchasing an additional 187 shares during the period. Wealth Enhancement Advisory Services LLC lifted its stake in shares of First American Financial by 1.9% in the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 10,327 shares of the insurance provider’s stock valued at $630,000 after purchasing an additional 193 shares during the last quarter. Blossom Wealth Management grew its holdings in shares of First American Financial by 2.9% during the 2nd quarter. Blossom Wealth Management now owns 6,940 shares of the insurance provider’s stock worth $374,000 after purchasing an additional 195 shares during the period. Finally, Bessemer Group Inc. increased its position in shares of First American Financial by 4.9% during the 1st quarter. Bessemer Group Inc. now owns 4,985 shares of the insurance provider’s stock worth $304,000 after purchasing an additional 234 shares during the last quarter. 89.05% of the stock is owned by hedge funds and other institutional investors.

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.