First American Financial (NYSE:FAF) Cut to “Hold” at Wall Street Zen

Wall Street Zen downgraded shares of First American Financial (NYSE:FAF) from a buy rating to a hold rating in a report released on Saturday.

A number of other equities research analysts also recently weighed in on FAF. Keefe, Bruyette & Woods raised their price target on First American Financial from $79.00 to $81.00 and gave the stock an “outperform” rating in a research note on Thursday, December 18th. Stephens initiated coverage on First American Financial in a report on Friday, November 14th. They issued an “equal weight” rating on the stock. Deutsche Bank Aktiengesellschaft reiterated a “buy” rating on shares of First American Financial in a research note on Friday, February 13th. Truist Financial increased their price target on shares of First American Financial from $76.00 to $82.00 and gave the stock a “buy” rating in a research note on Tuesday, February 17th. Finally, Barclays lifted their price objective on shares of First American Financial from $68.00 to $70.00 and gave the company an “equal weight” rating in a research note on Friday, February 13th. Four analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $77.67.

First American Financial Stock Down 1.4%

Shares of NYSE:FAF opened at $66.40 on Friday. The firm has a fifty day moving average of $63.46 and a two-hundred day moving average of $63.81. The firm has a market capitalization of $6.77 billion, a P/E ratio of 11.05, a price-to-earnings-growth ratio of 0.70 and a beta of 1.27. First American Financial has a 12-month low of $53.09 and a 12-month high of $68.75.

First American Financial (NYSE:FAF) last posted its quarterly earnings results on Wednesday, February 11th. The insurance provider reported $1.99 earnings per share for the quarter, topping analysts’ consensus estimates of $1.49 by $0.50. The business had revenue of $2 billion for the quarter, compared to the consensus estimate of $1.80 billion. First American Financial had a net margin of 8.34% and a return on equity of 11.92%. First American Financial’s revenue for the quarter was up 21.6% compared to the same quarter last year. During the same period in the prior year, the business posted $1.35 earnings per share. Equities research analysts expect that First American Financial will post 5.35 earnings per share for the current fiscal year.

First American Financial Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, March 16th. Investors of record on Monday, March 9th will be issued a $0.55 dividend. This represents a $2.20 annualized dividend and a yield of 3.3%. The ex-dividend date is Monday, March 9th. First American Financial’s dividend payout ratio (DPR) is 36.61%.

Insiders Place Their Bets

In other news, Director Parker S. Kennedy purchased 44,841 shares of the firm’s stock in a transaction on Tuesday, February 17th. The stock was bought at an average cost of $67.85 per share, for a total transaction of $3,042,461.85. Following the completion of the acquisition, the director directly owned 251,552 shares of the company’s stock, valued at approximately $17,067,803.20. The trade was a 21.69% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. 3.70% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On First American Financial

Large investors have recently made changes to their positions in the business. Jones Financial Companies Lllp grew its holdings in First American Financial by 121.3% in the 1st quarter. Jones Financial Companies Lllp now owns 1,483 shares of the insurance provider’s stock valued at $97,000 after buying an additional 813 shares during the last quarter. Goldman Sachs Group Inc. boosted its position in shares of First American Financial by 10.8% in the first quarter. Goldman Sachs Group Inc. now owns 293,058 shares of the insurance provider’s stock valued at $19,233,000 after acquiring an additional 28,666 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in shares of First American Financial by 7.1% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 414,146 shares of the insurance provider’s stock worth $27,180,000 after acquiring an additional 27,600 shares during the last quarter. Jane Street Group LLC grew its stake in shares of First American Financial by 182.5% in the first quarter. Jane Street Group LLC now owns 67,572 shares of the insurance provider’s stock worth $4,435,000 after acquiring an additional 43,651 shares during the last quarter. Finally, Focus Partners Wealth increased its position in First American Financial by 11.3% during the first quarter. Focus Partners Wealth now owns 4,282 shares of the insurance provider’s stock worth $281,000 after acquiring an additional 435 shares during the period. Institutional investors and hedge funds own 89.05% of the company’s stock.

About First American Financial

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.