First American Financial Corporation

FAF: NYSE
61Total

Lowest reading is at 45 out of 100. All scores are out of 100.

About The Company

CEO

Mr. Mark Edward Seaton

Market Cap

6.77 Billion USD

Sector

Financial Services

Website

https://www.firstam.com

Last Update

27/09/2026, 17:43:46

Description

First American Financial Corporation, through its subsidiaries, provides financial services.

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Strongest readings

  • ✔Debt is low at 0.50 times equity
  • ✔Price-to-earnings of 10.1 is below the market average of 19.6
  • ✔Financial health is strong (health score 67 out of 100)
  • ✔Share count has been falling at 0.50% per year

Weakest readings

  • ✘Revenue is growing at 4.44% per year while free cashflow is falling
  • ✘The current price sits above estimated fair value (margin of safety -16.59%)

Key Figures

StatusMetricValueReadingMarket avg
✔
Price / earnings (TTM)
10.06x
19.60x
✘
Margin of safety (DCF)
-16.59%
17.95%
✘
Revenue growth (5y average)
4.44%
10.97%
✔
Dividend yield (TTM)
3.30%
1.85%
✔
Share count, per year
-0.50%
0.00%
✘Return on capital employed1.74%
10.00%

The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

Valuation

82 / 100

Priced at or below the market on most measures.

StatusMetricValueReadingMarket avg
✔
Price / earnings
10.06x
19.60x
✔Free cashflow yield12.08%
4.70%
✔Price / earnings growth0.13x
1.50x
Price / book1.20x
—
✘
Margin of safety
-16.59%
17.95%

The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

  • ✘Estimated intrinsic value of 55.28 USD is below the current price of 66.27 USD

Desired Margin Of Safety

0%

▼

Tip: Set your desired Margin Of Safety

Free Cash Flow Type

Annual Cashflow Growth

0%

Discount Rate

0%

Estimated Fair Value: 92.4 USD ✔

Current Price: 66.3 USD

How Does This Work?

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This calculator helps investors estimate the Intrinsic Value of a company based on the current value of future cash flows. To use the tool, simply input a desired Margin Of Safety, which is an additional discount applied to the present value of the expected future cash flows. The tool calculates the present value using a discount rate that reflects the risk and time value of money, and provides an estimated fair value for the company based on the selected margin of safety. The calculator defaults to using 5 Year Free Cash Flow Growth % and a discount rate based on the US 10-year treasury bond coupon rate. Use our performance analyser to get a feel for the impact this has on longterm investment returns and find a margin of safety you are comfortable with.

Growth

50 / 100

Growing faster than the market on most measures.

StatusMetricValueReadingMarket avg
✘
Revenue growth
4.44%
10.97%
✔Earnings growth38.69%
14.48%
✘Cashflow growth-0.99%
12.35%

The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

  • ✔Revenue growth has improved this year (29.05% against a five year average of 4.44%)
  • ✔Earnings growth has improved this year (414.84% against a five year average of 38.69%)
  • ✔Free cashflow growth has improved this year
  • ✘Revenue is growing at 4.44% per year while free cashflow is falling at 0.99% per year

Health

67 / 100

Balance sheet covers its obligations.

Measured on Leverage and capital, Funding and liquidity, Earnings quality, Asset quality.

StatusMetricValueReadingThreshold
✔Debt / equity0.50x
0.80x
✔Debt / total capital0.33x
1.00x
Equity / assets29.68%
—
Loans / deposits0.15x
—
Net interest margin-0.24%
—
Loan-loss coverN/A—

The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

    Dividend

    63 / 100

    Covered, with limited headroom.

    StatusMetricValueReadingMarket avg
    ✔
    Dividend yield
    3.30%
    1.85%
    ✘Dividend growth-0.18%
    0.00%
    ✔Payout ratio (earnings)32.92%
    40.00%
    ✔Payout ratio (cashflow)27.36%
    65.00%
    ✔Worst year, last 5 years-0.72%
    -2.00%

    The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

    • ✘Dividend growth has been slowing recently

    Management

    45 / 100

    Returns on capital are below the market.

    StatusMetricValueReadingMarket avg
    ✘Return on equity3.89%
    15.00%
    ✘Return on capital employed1.74%
    10.00%
    Return on assets1.15%
    —
    Free cashflow return on capital1.68%
    —
    ✘Return on capital, 5y change-0.19%
    0.00%
    ✔
    Share count, per year
    -0.50%
    0.00%
    ✔Share count, recent-0.49%
    0.00%
    ✘Realized buyback return-27.53%
    0.00%
    ✔Goodwill erosion / equity0.12%
    2.00%
    Price volatility, 5 year27.81%
    —

    The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

    • ✔Shares were repurchased while the value score was 82 out of 100

    Analysts

    not enough data
    StatusMetricValueReadingNeutral
    Analyst opinion scoreN/A50

    The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

    Financial History

    Annual figures across the full reporting history we hold.

    Market Peers

    FAF

    SEC Filings

    Find yearly (10-K), quaterly (10-Q) and disclosure (8-K) report here, on the Securities and Exchange Commission's EDGAR database. If reading through reports isn't your cup of tea, don't worry. We've made it easy for you by summarizing all the important bits.

    See 35+ Years Annual Reports

    Other Information

    Company Name

    First American Financial Corporation

    Currency

    USD

    Beta

    1.23

    Vol Avg

    789154

    Ceo

    Mr. Mark Edward Seaton

    Cik

    0001472787

    Cusip

    Exchange

    NYSE

    Full Time Employees

    19102

    Industry

    Insurance - Specialty

    Sector

    Financial Services

    Ipo Date

    Address

    1 First American Way

    City

    Santa Ana

    State

    CA

    Country

    United States

    Zip

    92707-5913

    Phone

    714 250 3000

    Analysis Last Updated

    27/09/2026, 17:43:46

    Financial data compiled from SEC EDGAR filings and Yahoo Finance.

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