The Company First American Financial Corporation traces its heritage back to 1889. On June 1, 2010, its common stock was listed on the New York Stock Exchange under the ticker symbol “FAF.” First American’s executive offices are located at 1 First American Way, Santa Ana, California 92707-5913 and its telephone number is (714) 250-3000. Unless otherwise indicated or otherwise required by the context, the terms “we,” “our,” “it,” “its,” “Company” and “First American” refer to First American Financial Corporation and its subsidiaries. The Company, through its subsidiaries, is engaged in the business of providing title insurance, settlement services and other financial services and risk solutions through its title insurance and services segment and its home warranty segment.
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 7.5B | 7.5B | 6.1B | 6.0B | 7.6B | 9.2B |
| Net Income | 622M | 622M | 131M | 217M | 263M | 1.2B |
| EPS | $6.00 | $6.00 | $1.26 | $2.07 | $2.45 | $11.14 |
| Free Cash Flow | 763M | 763M | 679M | 91M | 518M | 1.1B |
| ROIC | 11.0% | 11.5% | 2.6% | 4.6% | 4.8% | 21.1% |
| Gross Margin | 58.5% | 58.5% | 55.1% | 56.5% | 48.6% | 53.5% |
| Debt/Equity | 0.28 | 0.28 | 0.32 | 0.29 | 0.35 | 0.11 |
| Dividends/Share | $2.15 | $2.18 | $2.14 | $2.10 | $2.06 | $1.94 |
| Operating Income | 826M | 826M | 165M | 274M | 326M | 1.6B |
| Operating Margin | 11.1% | 11.1% | 2.7% | 4.6% | 4.3% | 17.8% |
| ROE | 11.3% | 11.9% | 2.7% | 4.6% | 5.0% | 23.2% |
| Shares Outstanding | 104M | 104M | 104M | 105M | 107M | 111M |
First American Financial Corp passes 4 of 9 quality checks, suggesting mixed fundamentals.
First American Financial Corp trades at 10.6x trailing earnings, compared to its 15-year median P/E of 9.6x, suggesting it is currently Fair relative to its historical range. On a free-cash-flow basis, the stock trades at 8.5x vs a median of 8.5x. The company's 5-year average ROIC is 8.9% with a gross margin of 54.4%. Total shareholder yield (dividends + buybacks) is 5.3%. At current prices, the estimated annualized return to fair value is -8.2%.
First American Financial Corp (FAF) has a current P/E ratio of 10.6, compared to its historical median P/E of 9.6. The stock is currently considered Fair based on its historical valuation range.
First American Financial Corp (FAF) has a 5-year average return on invested capital (ROIC) of 8.9%. This is below average and may indicate limited pricing power.
First American Financial Corp (FAF) has a market capitalization of $6.6B. It is classified as a mid-cap stock.
Yes, First American Financial Corp (FAF) pays a dividend with a trailing twelve-month yield of 3.39%. The company also returns capital through share buybacks, with a buyback yield of 1.86%.
Based on historical P/E analysis, First American Financial Corp (FAF) appears fair. The current P/E of 10.6 is 10% above its historical median of 9.6. The estimated fair value CAGR (P/E method) is -16.1%.
First American Financial Corp (FAF) operates in the Title Insurance industry, within the Financials sector.
First American Financial Corp (FAF) reported annual revenue of $7.5 billion in its most recent fiscal year, based on SEC EDGAR filings.
First American Financial Corp (FAF) has a net profit margin of 8.3%. This is a modest margin.
First American Financial Corp (FAF) generated $763 million in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
First American Financial Corp (FAF) has a debt-to-equity ratio of 0.28. This indicates a conservatively financed balance sheet.
First American Financial Corp (FAF) reported earnings per share (EPS) of $6.00 in its most recent fiscal year.
First American Financial Corp (FAF) has a return on equity (ROE) of 11.9%. This indicates moderate shareholder returns.
First American Financial Corp (FAF) has a 5-year average gross margin of 54.4%. This high margin suggests strong pricing power and a potential competitive moat.
The Ledger Terminal provides 16 years of financial data for First American Financial Corp (FAF), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
First American Financial Corp (FAF) has a book value per share of $53.07, based on its most recent annual SEC filing.
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