First American Financial Corporation (NYSE:FAF) Receives Average Rating of “Moderate Buy” from Analysts

First American Financial Corporation (NYSE:FAF) has earned an average rating of “Moderate Buy” from the eight ratings firms that are presently covering the company, Marketbeat reports. One research analyst has rated the stock with a hold recommendation and seven have given a buy recommendation to the company. The average 12 month target price among analysts that have issued a report on the stock in the last year is $84.60.

Several brokerages have weighed in on FAF. Zacks Research downgraded shares of First American Financial from a “strong-buy” rating to a “hold” rating in a report on Tuesday, June 23rd. Stephens restated an “overweight” rating and set a $84.00 price objective on shares of First American Financial in a research report on Friday, June 12th. Keefe, Bruyette & Woods lifted their target price on shares of First American Financial from $84.00 to $86.00 and gave the company an “outperform” rating in a research note on Friday, July 24th. Barclays upped their target price on shares of First American Financial from $80.00 to $83.00 and gave the stock an “overweight” rating in a report on Tuesday, July 7th. Finally, Weiss Ratings reiterated a “buy (b)” rating on shares of First American Financial in a research note on Monday, July 20th.

First American Financial Stock Down 3.6%

Shares of FAF opened at $65.65 on Friday. The business has a 50-day simple moving average of $72.93 and a two-hundred day simple moving average of $68.50. First American Financial has a 52 week low of $56.20 and a 52 week high of $79.87. The stock has a market cap of $6.70 billion, a price-to-earnings ratio of 9.09, a PEG ratio of 0.64 and a beta of 1.21.

First American Financial (NYSE:FAF) last posted its quarterly earnings data on Wednesday, July 22nd. The insurance provider reported $2.08 earnings per share for the quarter, beating analysts’ consensus estimates of $1.80 by $0.28. The firm had revenue of $2.11 billion for the quarter, compared to analysts’ expectations of $2.03 billion. First American Financial had a return on equity of 13.31% and a net margin of 9.33%.The business’s quarterly revenue was up 15.0% on a year-over-year basis. During the same period in the previous year, the firm earned $1.53 EPS. On average, equities analysts anticipate that First American Financial will post 7.11 earnings per share for the current fiscal year.

First American Financial Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, October 5th. Stockholders of record on Monday, September 28th will be paid a $0.55 dividend. The ex-dividend date of this dividend is Monday, September 28th. This represents a $2.20 dividend on an annualized basis and a dividend yield of 3.4%. First American Financial’s dividend payout ratio is 30.47%.

Insider Activity

In related news, CAO Steven Adams sold 3,253 shares of First American Financial stock in a transaction that occurred on Friday, July 24th. The stock was sold at an average price of $74.99, for a total transaction of $243,942.47. Following the sale, the chief accounting officer owned 10,234 shares of the company’s stock, valued at approximately $767,447.66. This trade represents a 24.12% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 3.50% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. GAMMA Investing LLC boosted its holdings in First American Financial by 9.6% in the 2nd quarter. GAMMA Investing LLC now owns 1,696 shares of the insurance provider’s stock valued at $116,000 after purchasing an additional 148 shares during the last quarter. Equitable Trust Co. increased its holdings in shares of First American Financial by 2.3% during the 1st quarter. Equitable Trust Co. now owns 6,980 shares of the insurance provider’s stock worth $421,000 after buying an additional 160 shares during the last quarter. Sanctuary Advisors LLC raised its position in shares of First American Financial by 6.7% during the 1st quarter. Sanctuary Advisors LLC now owns 3,956 shares of the insurance provider’s stock valued at $239,000 after buying an additional 248 shares during the period. Meeder Asset Management Inc. raised its position in shares of First American Financial by 0.7% during the 1st quarter. Meeder Asset Management Inc. now owns 40,934 shares of the insurance provider’s stock valued at $2,468,000 after buying an additional 297 shares during the period. Finally, Duncker Streett & Co. Inc. lifted its holdings in First American Financial by 616.4% in the first quarter. Duncker Streett & Co. Inc. now owns 437 shares of the insurance provider’s stock valued at $26,000 after acquiring an additional 376 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 (NYSE: FAF) provides title insurance, settlement services and risk solutions for real estate transactions. Through its title insurance operations, the company protects property buyers, lenders and other parties against certain losses arising from defects in ownership records, liens and other title-related issues.

The company also offers escrow and closing services, real estate data and analytics, valuation products, and technology solutions designed to support mortgage lenders, real estate professionals, homebuilders and commercial property participants.