Keefe, Bruyette & Woods Issues Pessimistic Forecast for First American Financial (NYSE:FAF) Stock Price

First American Financial (NYSE:FAF) had its target price decreased by investment analysts at Keefe, Bruyette & Woods from $80.00 to $74.00 in a report released on Wednesday,Benzinga reports. The brokerage presently has a “market perform” rating on the insurance provider’s stock. Keefe, Bruyette & Woods’ target price would indicate a potential upside of 23.23% from the stock’s previous close.

A number of other brokerages have also issued reports on FAF. Barclays raised their price objective on shares of First American Financial from $70.00 to $72.00 and gave the company an “equal weight” rating in a report on Friday, October 25th. Stephens lifted their price target on shares of First American Financial from $66.00 to $73.00 and gave the stock an “overweight” rating in a report on Friday, October 25th. Finally, Truist Financial increased their price objective on First American Financial from $68.00 to $73.00 and gave the company a “buy” rating in a report on Friday, October 25th. Two research analysts have rated the stock with a hold rating and three have given a buy rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $73.00.

First American Financial Price Performance

FAF stock opened at $60.05 on Wednesday. First American Financial has a 1 year low of $51.60 and a 1 year high of $70.92. The stock has a market cap of $6.19 billion, a price-to-earnings ratio of 67.47 and a beta of 1.30. The company has a 50 day simple moving average of $64.97 and a 200 day simple moving average of $62.72.

First American Financial (NYSE:FAF) last released its quarterly earnings data on Wednesday, October 23rd. The insurance provider reported $1.34 earnings per share for the quarter, beating the consensus estimate of $1.15 by $0.19. First American Financial had a return on equity of 7.95% and a net margin of 1.58%. The company had revenue of $1.41 billion for the quarter, compared to the consensus estimate of $1.66 billion. During the same quarter last year, the business posted $1.22 EPS. First American Financial’s revenue for the quarter was down 5.1% on a year-over-year basis. On average, equities research analysts anticipate that First American Financial will post 4.07 EPS for the current fiscal year.

Hedge Funds Weigh In On First American Financial

Several hedge funds and other institutional investors have recently bought and sold shares of FAF. Dimensional Fund Advisors LP lifted its stake in shares of First American Financial by 16.5% in the 2nd quarter. Dimensional Fund Advisors LP now owns 3,647,709 shares of the insurance provider’s stock valued at $196,793,000 after purchasing an additional 515,710 shares during the period. Ariel Investments LLC lifted its stake in First American Financial by 2.8% in the second quarter. Ariel Investments LLC now owns 3,609,697 shares of the insurance provider’s stock valued at $194,743,000 after buying an additional 97,158 shares during the period. Victory Capital Management Inc. boosted its holdings in shares of First American Financial by 19.4% during the 3rd quarter. Victory Capital Management Inc. now owns 2,495,766 shares of the insurance provider’s stock worth $164,746,000 after buying an additional 405,146 shares in the last quarter. Geode Capital Management LLC grew its position in shares of First American Financial by 0.8% during the 3rd quarter. Geode Capital Management LLC now owns 1,700,903 shares of the insurance provider’s stock worth $112,306,000 after buying an additional 12,668 shares during the period. Finally, Vaughan Nelson Investment Management L.P. increased its stake in shares of First American Financial by 4.6% in the 3rd quarter. Vaughan Nelson Investment Management L.P. now owns 1,493,111 shares of the insurance provider’s stock valued at $98,560,000 after acquiring an additional 66,290 shares in the last quarter. Institutional investors and hedge funds own 89.05% of the company’s stock.

About First American Financial

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.