First American Financial (NYSE:FAF) Issues Quarterly Earnings Results, Beats Expectations By $0.31 EPS

First American Financial (NYSE:FAF) released its quarterly earnings results on Wednesday. The insurance provider reported $1.33 earnings per share for the quarter, beating the consensus estimate of $1.02 by $0.31, FiscalAI reports. The business had revenue of $1.85 billion for the quarter, compared to analysts’ expectations 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 Stock Down 0.7%

Shares of FAF stock traded down $0.48 during mid-day trading on Wednesday, reaching $66.43. 987,524 shares of the company’s stock traded hands, compared to its average volume of 1,061,640. First American Financial has a 12 month low of $53.09 and a 12 month high of $71.47. The company has a market cap of $6.80 billion, a P/E ratio of 11.05, a P/E/G ratio of 0.68 and a beta of 1.28. The company’s 50-day moving average price is $64.14 and its 200-day moving average price is $63.26.

Key First American Financial News

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

• Positive Sentiment: Zacks Research raised several medium‑ and long‑term EPS forecasts (FY2026, FY2027, FY2028 and multiple quarterly increases), signaling modestly stronger forward earnings expectations that could support the stock over time. Zacks estimate changes
• Neutral Sentiment: The transcript of First American’s recent earnings call (Q2 2025) was published; investors will parse management’s tone on volume, margins and reserve/deployment plans for signals on near‑term performance. First American (FAF) Q2 2025 Earnings Transcript
• Neutral Sentiment: Market previews (MSN) flagged an upcoming earnings release and what to watch (revenue drivers, title‑insurance volumes, loss ratios and guiding commentary), keeping trading cautious ahead of new data. First American Financial (FAF) reports earnings tomorrow: What to expect
• Negative Sentiment: Offsetting some of the upbeat revisions, Zacks trimmed near‑term quarterly estimates (notably Q2 2026 and Q2 2027), which can increase short‑term uncertainty about volumes/margin timing and likely contributed to selling pressure today. Zacks estimate changes

Analyst Ratings Changes

Several analysts recently weighed in on FAF shares. Barclays upgraded shares of First American Financial from an “equal weight” rating to an “overweight” rating and lifted their price target for the company from $70.00 to $72.00 in a report on Monday, April 6th. Truist Financial boosted their target price on shares of First American Financial from $76.00 to $82.00 and gave the company a “buy” rating in a report on Tuesday, February 17th. Wall Street Zen upgraded shares of First American Financial from a “hold” rating to a “buy” rating in a report on Saturday, March 7th. Deutsche Bank Aktiengesellschaft restated a “buy” rating on shares of First American Financial in a report on Friday, February 13th. Finally, Stephens upgraded shares of First American Financial from an “equal weight” rating to an “overweight” rating and boosted their target price for the company from $70.00 to $81.00 in a report on Monday, March 2nd. Six analysts have rated the stock with a Buy rating, According to MarketBeat, the company presently has an average rating of “Buy” and an average target price of $79.00.

Insider Transactions at First American Financial

In other news, Director Parker S. Kennedy purchased 44,841 shares of the company’s stock in a transaction that occurred on Tuesday, February 17th. The shares were bought at an average price of $67.85 per share, for a total transaction of $3,042,461.85. Following the purchase, the director directly owned 251,552 shares in the company, valued at approximately $17,067,803.20. This trade represents a 21.69% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. 3.50% of the stock is currently owned by insiders.

Hedge Funds Weigh In On First American Financial

A number of hedge funds have recently bought and sold shares of FAF. Global Retirement Partners LLC boosted its stake in First American Financial by 1,107.5% in the 4th quarter. Global Retirement Partners LLC now owns 483 shares of the insurance provider’s stock worth $30,000 after purchasing an additional 443 shares in the last quarter. Danske Bank A S bought a new position in First American Financial in the 3rd 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 boosted 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 purchasing an additional 597 shares in the last quarter. Finally, UMB Bank n.a. boosted its stake in 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 worth $80,000 after purchasing an additional 599 shares in the last quarter. Institutional investors own 89.05% of the company’s stock.

First American Financial Company Profile

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.