Zacks Research Issues Negative Estimate for FAF Earnings

First American Financial Corporation (NYSE:FAF) – Analysts at Zacks Research cut their Q4 2025 earnings estimates for First American Financial in a research report issued to clients and investors on Tuesday, August 12th. Zacks Research analyst T. De now expects that the insurance provider will earn $1.28 per share for the quarter, down from their previous estimate of $1.30. 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 Q2 2026 earnings at $1.72 EPS, Q3 2026 earnings at $1.66 EPS, Q4 2026 earnings at $1.75 EPS, Q1 2027 earnings at $0.91 EPS and Q2 2027 earnings at $1.76 EPS.

First American Financial (NYSE:FAF) last released its quarterly earnings data on Wednesday, July 23rd. The insurance provider reported $1.53 earnings per share for the quarter, topping the consensus estimate of $1.40 by $0.13. The firm had revenue of $1.84 billion for the quarter, compared to the consensus estimate of $1.78 billion. First American Financial had a net margin of 2.90% and a return on equity of 10.41%. The business’s revenue was up 14.2% on a year-over-year basis. During the same quarter in the prior year, the company posted $1.27 earnings per share.

Several other analysts also recently commented on FAF. Keefe, Bruyette & Woods increased their target price on shares of First American Financial from $77.00 to $79.00 and gave the company an “outperform” rating in a report on Monday, July 28th. Barclays lowered their target price on shares of First American Financial from $72.00 to $70.00 and set an “equal weight” rating for the company in a report on Tuesday, July 8th. Finally, Wall Street Zen upgraded shares of First American Financial from a “hold” rating to a “buy” rating in a report on Saturday, August 9th. One investment analyst has rated the stock with a hold rating and four have issued a buy rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $75.00.

First American Financial Price Performance

Shares of FAF stock opened at $66.09 on Wednesday. The firm has a 50-day moving average of $59.74 and a 200-day moving average of $61.04. The company has a market cap of $6.73 billion, a P/E ratio of 36.51 and a beta of 1.24. First American Financial has a one year low of $53.09 and a one year high of $70.92.

Institutional Trading of First American Financial

A number of large investors have recently added to or reduced their stakes in FAF. Bank of Montreal Can increased its holdings in First American Financial by 6.5% during the fourth quarter. Bank of Montreal Can now owns 20,441 shares of the insurance provider’s stock worth $1,276,000 after buying an additional 1,255 shares during the last quarter. Invesco Ltd. increased its holdings in First American Financial by 22.6% during the fourth quarter. Invesco Ltd. now owns 305,933 shares of the insurance provider’s stock worth $19,102,000 after buying an additional 56,493 shares during the last quarter. Raymond James Financial Inc. purchased a new stake in First American Financial during the fourth quarter worth about $7,932,000. Treasurer of the State of North Carolina increased its holdings in First American Financial by 0.6% during the fourth quarter. Treasurer of the State of North Carolina now owns 43,932 shares of the insurance provider’s stock worth $2,743,000 after buying an additional 270 shares during the last quarter. Finally, Sterling Capital Management LLC increased its holdings in First American Financial by 10.3% during the fourth quarter. Sterling Capital Management LLC now owns 18,837 shares of the insurance provider’s stock worth $1,176,000 after buying an additional 1,765 shares during the last quarter. Hedge funds and other institutional investors own 89.05% of the company’s stock.

First American Financial announced that its board has initiated a share repurchase program on Wednesday, July 23rd that authorizes the company to buyback $300.00 million in shares. This buyback authorization authorizes the insurance provider to reacquire up to 5.1% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s board believes its stock is undervalued.

First American Financial Company Profile

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.