Zacks Research Has Optimistic Outlook of FAF FY2025 Earnings

First American Financial Corporation (NYSE:FAF) – Equities researchers at Zacks Research boosted their FY2025 earnings per share (EPS) estimates for shares of First American Financial in a note issued to investors on Friday, January 23rd. Zacks Research analyst Team now expects that the insurance provider will earn $5.54 per share for the year, up from their prior estimate of $5.51. The consensus estimate for First American Financial’s current full-year earnings is $5.35 per share. Zacks Research also issued estimates for First American Financial’s Q4 2025 earnings at $1.47 EPS, Q2 2026 earnings at $1.80 EPS, FY2026 earnings at $6.15 EPS, Q1 2027 earnings at $1.18 EPS, Q2 2027 earnings at $1.86 EPS and FY2027 earnings at $6.46 EPS.

Other analysts also recently issued reports about the stock. Wall Street Zen upgraded shares of First American Financial from a “hold” rating to a “buy” rating in a research report on Sunday, December 14th. Keefe, Bruyette & Woods raised their price target on shares of First American Financial from $79.00 to $81.00 and gave the company an “outperform” rating in a research note on Thursday, December 18th. Truist Financial boosted their price objective on First American Financial from $73.00 to $76.00 and gave the stock a “buy” rating in a research report on Thursday, October 23rd. Stephens assumed coverage on First American Financial in a report on Friday, November 14th. They issued an “equal weight” rating for the company. Finally, Weiss Ratings restated a “buy (b-)” rating on shares of First American Financial in a research report on Friday, December 26th. Three research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $75.75.

First American Financial Stock Performance

Shares of FAF opened at $64.71 on Monday. The firm has a fifty day moving average of $62.94 and a 200-day moving average of $62.92. The company has a market cap of $6.59 billion, a price-to-earnings ratio of 13.92, a price-to-earnings-growth ratio of 0.69 and a beta of 1.27. First American Financial has a 1 year low of $53.09 and a 1 year high of $68.64.

Institutional Trading of First American Financial

Several institutional investors have recently modified their holdings of the company. Boston Partners increased its holdings in shares of First American Financial by 8.9% in the third quarter. Boston Partners now owns 6,133,594 shares of the insurance provider’s stock worth $393,690,000 after purchasing an additional 500,649 shares during the period. Dimensional Fund Advisors LP boosted its stake in First American Financial by 4.1% during the third quarter. Dimensional Fund Advisors LP now owns 4,293,573 shares of the insurance provider’s stock valued at $275,816,000 after buying an additional 168,706 shares during the period. Capital Research Global Investors grew its position in First American Financial by 194.5% during the third quarter. Capital Research Global Investors now owns 3,306,583 shares of the insurance provider’s stock worth $212,415,000 after buying an additional 2,183,960 shares in the last quarter. Reinhart Partners LLC. grew its position in First American Financial by 31.3% during the third quarter. Reinhart Partners LLC. now owns 1,598,007 shares of the insurance provider’s stock worth $102,657,000 after buying an additional 380,744 shares in the last quarter. Finally, Channing Capital Management LLC increased its stake in First American Financial by 16.9% in the 3rd quarter. Channing Capital Management LLC now owns 1,547,790 shares of the insurance provider’s stock worth $99,430,000 after acquiring an additional 224,277 shares during the last quarter. Institutional investors and hedge funds own 89.05% of the company’s stock.

First American Financial Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, March 16th. Shareholders of record on Monday, March 9th will be paid a dividend of $0.55 per share. This represents a $2.20 dividend on an annualized basis and a yield of 3.4%. The ex-dividend date of this dividend is Monday, March 9th. First American Financial’s dividend payout ratio (DPR) is presently 47.31%.

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.