First American Financial Corp

First American Financial Corp (FAF) Stock Analysis

$62.070

-0.099 (-0.16%)At close

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High
62.310
Open
61.640
VWAP
61.84
Volume
703.29K
Mkt Cap
5.55B
Low
61.140
Amount
43.49M
EV/EBITDA, TTM
3.55

First American Financial Corporation, through its subsidiaries, is engaged in the business of providing title insurance, settlement services and other financial services and risk solutions. Its segments include Title Insurance and Services, Home Warranty, and Corporate segment. The Title Insurance and Services segment issues title insurance policies on residential and commercial property in the United States and offers similar or related products and services internationally. This segment also provides closing and/or escrow services, accommodates tax-deferred exchanges of real estate, and maintains, manages and provides access to title plant data and records. The Home Warranty segment provides residential service contracts that cover residential systems, such as heating and air conditioning systems, and certain appliances against failures that occur as the result of normal usage during the coverage period. The Corporate segment includes investments in venture-stage companies.

AI analysis of First American Financial Corp (FAF)

Hold

First American Financial Corp is currently trading at $61.20, which is below the average analyst price target of $82, indicating potential upside. However, the RSI is at 33.21, suggesting the stock is oversold, and the recent 20-day change is -14.74%, indicating a significant downward trend. The main risk is the cautious outlook on residential revenue, which has declined by 4% year-over-year, reflecting weakness in the housing market.

Analyst Ratings (7)

+18.82% upside
Hold
3 Buy
4 Hold
0 Sell
Current: 62.07
Low
68.00
Average
73.75
High
81.00

Keefe Bruyette

2026-10-07

Price Target

$82

Outperform

Barclays

2026-10-05

Price Target

$79

Overweight

Benchmark

2026-07-21

Price Target

$85

Buy

Benchmark

2026-07-20

Price Target

$85

Buy

Barclays

2026-07-07

Price Target

$83

Overweight

Valuation Metrics

The current forward P/E ratio for First American Financial Corp (FAF) is 9.38, compared to its 5-year average forward P/E of 11.79.

Forward P/E

Undervalued
5Y Average P/E
11.79
Current P/E
9.38
Overvalued
13.63
Undervalued
9.95

Forward EV/EBITDA

Undervalued
5Y Average EV/EBITDA
6.19
Current EV/EBITDA
3.55
Overvalued
8.82
Undervalued
3.56

Forward P/S

Undervalued
5Y Average P/S
0.89
Current P/S
0.75
Overvalued
0.99
Undervalued
0.80

Alphio AI Price Scenarios for FAF

Scenario prices are the last monthly forecast band of the current year. Probabilities are fixed model weights (25 / 50 / 25), not guarantees.

B

Bull

Bull · 25%FAF

$72.56

Scenario price

B

Base

Base · 50%FAF

$68.39

Scenario price

B

Bear

Bear · 25%FAF

$60.06

Scenario price

Whales holding FAF

L

Lakewood Capital Management, LP

+ HoldingFAF

+3.60%

3M Return

B

Bragg Financial Advisors, Inc.

+ HoldingFAF

+1.80%

3M Return

D

Davis Capital Partners, LLC

+ HoldingFAF

-0.72%

3M Return

A

Ariel Investments, LLC

+ HoldingFAF

-5.64%

3M Return

C

Cramer Rosenthal McGlynn LLC

+ HoldingFAF

-6.72%

3M Return

C

Channing Capital Management, LLC

+ HoldingFAF

-9.18%

3M Return

Events Timeline

2026-09-16 (ET)

16:30:00

Cash Dividend Payable on October 5, 2026

2026-09-14 (ET)

09:30:00

First American Launches Free Property Monitoring Service

2026-09-09 (ET)

09:30:00

ServiceMac Launches Redesigned Website and Brand Identity

2026-07-22 (ET)

16:30:00

First American Financial Reports Q2 Revenue of $2.1B

2026-07-13 (ET)

09:30:00

First American Data & Analytics Launches Property Intelligence Datasets on ArcGIS

News

FAF FAQ — answered by Alphio AI

First American Financial Corporation, through its subsidiaries, is engaged in the business of providing title insurance, settlement services and other financial services and risk solutions. Its segments include Title Insurance and Services, Home Warranty, and Corporate segment. The Title Insurance and Services segment issues title insurance policies on residential and commercial property in the United States and offers similar or related products and services internationally. This segment also provides closing and/or escrow services, accommodates tax-deferred exchanges of real estate, and maintains, manages and provides access to title plant data and records. The Home Warranty segment provides residential service contracts that cover residential systems, such as heating and air conditioning systems, and certain appliances against failures that occur as the result of normal usage during the coverage period. The Corporate segment includes investments in venture-stage companies. It operates in the Financials sector (TITLE INSURANCE industry).

First American Financial Corp is currently trading at $61.20, which is below the average analyst price target of $82, indicating potential upside. However, the RSI is at 33.21, suggesting the stock is oversold, and the recent 20-day change is -14.74%, indicating a significant downward trend. The main risk is the cautious outlook on residential revenue, which has declined by 4% year-over-year, reflecting weakness in the housing market.

7 analysts cover FAF: 3 rate it Buy, 4 Hold and 0 Sell. The average price target is 73.75.

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This page is for research only and is not investment advice. Models can be wrong. Past performance does not guarantee future results.

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