First American Financial (NYSE:FAF) Issues Earnings Results

First American Financial (NYSE:FAF) posted its earnings results on Wednesday. The insurance provider reported $1.33 earnings per share for the quarter, topping the consensus estimate of $1.06 by $0.27, FiscalAI reports. First American Financial had a net margin of 8.34% and a return on equity of 11.92%. The firm had revenue of $1.85 billion during the quarter, compared to the consensus estimate of $1.80 billion. During the same quarter last year, the company earned $0.84 earnings per share. The company’s revenue was up 16.2% on a year-over-year basis.

First American Financial Trading Down 0.7%

Shares of NYSE:FAF opened at $66.42 on Thursday. The company has a 50 day moving average of $64.18 and a 200 day moving average of $63.28. The stock has a market cap of $6.80 billion, a P/E ratio of 11.05, a P/E/G ratio of 0.69 and a beta of 1.28. First American Financial has a 12 month low of $53.09 and a 12 month high of $71.47.

Insiders Place Their Bets

In other news, Director Parker S. Kennedy bought 44,841 shares of the stock in a transaction on Tuesday, February 17th. The shares were acquired at an average cost of $67.85 per share, for a total transaction of $3,042,461.85. Following the purchase, the director directly owned 251,552 shares of the company’s stock, valued at $17,067,803.20. This trade represents a 21.69% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Company insiders own 3.50% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in FAF. Global Retirement Partners LLC raised its position in shares of First American Financial by 1,107.5% in the fourth quarter. Global Retirement Partners LLC now owns 483 shares of the insurance provider’s stock worth $30,000 after buying an additional 443 shares in the last quarter. Danske Bank A S purchased a new position in First American Financial during the third quarter worth about $45,000. Advisory Services Network LLC bought a new position in First American Financial in the 3rd quarter worth about $52,000. EverSource Wealth Advisors LLC increased its stake in First American Financial by 189.5% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 912 shares of the insurance provider’s stock worth $56,000 after acquiring an additional 597 shares during the last quarter. Finally, UMB Bank n.a. raised its holdings in shares of First American Financial by 85.0% in the 4th quarter. UMB Bank n.a. now owns 1,304 shares of the insurance provider’s stock valued at $80,000 after acquiring an additional 599 shares in the last quarter. 89.05% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting First American Financial

Here are the key news stories impacting First American Financial this week:

• Positive Sentiment: First American reported Q2 (quarterly) results of $1.33 EPS vs. consensus $1.02 and revenue $1.85B vs. $1.80B; management reported solid margins (net margin 8.34%) and 11.9% ROE — a strong beat that supports near-term earnings visibility. Press Release
• Positive Sentiment: Zacks Research raised multiple forward EPS forecasts (FY2026–FY2028 and several quarterly lifts), increasing FY2027/FY2028 outlooks — analyst upgrades reinforce the earnings beat and imply analysts expect continued earnings momentum.
• Neutral Sentiment: Full earnings call transcript is available (may contain management commentary on origination volumes, margin drivers and outlook that could affect near-term sentiment). First American (FAF) Q2 2025 Earnings Transcript
• Neutral Sentiment: A pre-earnings preview piece ran ahead of the report outlining expectations and risks (useful context but not market-moving on its own). What to Expect
• Negative Sentiment: Despite many upward revisions, Zacks trimmed some quarter-specific forecasts: Q2 2026 EPS was lowered (from $1.79 to $1.72) and Q2 2027 was cut (from $1.86 to $1.80) — these cuts suggest some near-term volatility in quarter-to-quarter results or sensitivity to volume/timing of transactions.

Wall Street Analysts Forecast Growth

FAF has been the topic of a number of recent research reports. Wall Street Zen upgraded shares of First American Financial from a “hold” rating to a “buy” rating in a research note on Saturday, March 7th. Truist Financial lifted their price objective on shares of First American Financial from $76.00 to $82.00 and gave the company a “buy” rating in a research note on Tuesday, February 17th. Deutsche Bank Aktiengesellschaft reissued a “buy” rating on shares of First American Financial in a report on Friday, February 13th. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of First American Financial in a report on Friday, December 26th. Finally, Stephens raised First American Financial from an “equal weight” rating to an “overweight” rating and raised their price target for the stock from $70.00 to $81.00 in a report on Monday, March 2nd. Six investment analysts have rated the stock with a Buy rating, According to MarketBeat.com, the company presently has an average rating of “Buy” and an average price target of $79.00.

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.