First American Financial (NYSE:FAF) Hits New 52-Week High – Still a Buy?

First American Financial Co. (NYSE:FAF) shares hit a new 52-week high during trading on Thursday . The company traded as high as $67.98 and last traded at $67.98, with a volume of 102 shares trading hands. The stock had previously closed at $67.59.

Analyst Upgrades and Downgrades

A number of equities analysts recently commented on FAF shares. Keefe, Bruyette & Woods lifted their price target on First American Financial from $66.00 to $72.00 and gave the stock an “outperform” rating in a report on Wednesday, September 4th. Truist Financial increased their price target on shares of First American Financial from $65.00 to $68.00 and gave the company a “buy” rating in a report on Friday, July 26th. Barclays increased their price objective on First American Financial from $61.00 to $70.00 and gave the stock an “equal weight” rating in a research report on Tuesday, October 8th. Finally, Stephens restated an “overweight” rating and issued a $66.00 price target on shares of First American Financial in a research note on Thursday, July 25th. Two research analysts have rated the stock with a hold rating and four have assigned a buy rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $69.00.

First American Financial Stock Down 0.6 %

The stock has a 50 day moving average of $64.17 and a 200 day moving average of $58.84. The company has a market capitalization of $6.97 billion, a price-to-earnings ratio of 32.13 and a beta of 1.29.

First American Financial (NYSE:FAF) last released its earnings results on Wednesday, July 24th. The insurance provider reported $1.27 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.13 by $0.14. The business had revenue of $1.61 billion for the quarter, compared to analyst estimates of $1.62 billion. First American Financial had a net margin of 3.28% and a return on equity of 7.98%. First American Financial’s revenue for the quarter was down 2.1% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.35 earnings per share. As a group, sell-side analysts anticipate that First American Financial Co. will post 3.89 EPS for the current fiscal year.

First American Financial Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, September 27th. Shareholders of record on Friday, September 20th were issued a $0.54 dividend. This represents a $2.16 dividend on an annualized basis and a yield of 3.22%. This is a boost from First American Financial’s previous quarterly dividend of $0.53. The ex-dividend date of this dividend was Friday, September 20th. First American Financial’s dividend payout ratio (DPR) is presently 103.35%.

Institutional Investors Weigh In On First American Financial

Several hedge funds and other institutional investors have recently modified their holdings of the company. Quadrature Capital Ltd boosted its holdings in shares of First American Financial by 56.1% in the 4th quarter. Quadrature Capital Ltd now owns 8,998 shares of the insurance provider’s stock worth $580,000 after buying an additional 3,232 shares during the last quarter. American National Bank purchased a new stake in First American Financial in the 1st quarter worth approximately $61,000. Wealth Enhancement Advisory Services LLC increased its holdings in shares of First American Financial by 1.9% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 10,327 shares of the insurance provider’s stock worth $630,000 after purchasing an additional 193 shares during the period. Tributary Capital Management LLC increased its stake in First American Financial by 35.2% in the 1st quarter. Tributary Capital Management LLC now owns 7,300 shares of the insurance provider’s stock worth $446,000 after acquiring an additional 1,900 shares during the last quarter. Finally, Vaughan Nelson Investment Management L.P. raised its holdings in shares of First American Financial by 9.0% in the 1st quarter. Vaughan Nelson Investment Management L.P. now owns 1,340,491 shares of the insurance provider’s stock valued at $81,836,000 after acquiring an additional 111,197 shares in the last quarter. Institutional investors 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.