First American Valuation
| FAF Stock | USD 56.25 0.08 0.14% |
At this time, the firm appears to be undervalued. First American shows a prevailing Real Value of $67.16 per share. The current price of the firm is $56.25. Our model computes the value of First American from reviewing the firm fundamentals such as Profit Margin of 0.03 %, shares outstanding of 102.9 M, and Current Valuation of 6.2 B as well as analyzing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting First American's valuation include:
Undervalued
Today
Please note that First American's price fluctuation is very steady at this time. Calculation of the real value of First American is based on 3 months time horizon. Increasing First American's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the First stock is determined by what a typical buyer is willing to pay for full or partial control of First American. Since First American is currently traded on the exchange, buyers and sellers on that exchange determine the market value of First Stock. However, First American's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 56.25 | Real 67.16 | Target 77.0 | Hype 56.23 | Naive 52.93 |
The real value of First Stock, also known as its intrinsic value, is the underlying worth of First American Company, which is reflected in its stock price. It is based on First American's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of First American's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
Estimating the potential upside or downside of First American helps investors to forecast how First stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of First American more accurately as focusing exclusively on First American's fundamentals will not take into account other important factors: When choosing an evaluation method for First American, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using all methods to arrive at a better estimate.
First American Cash |
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First Valuation Trend
Comparing First American's enterprise value against its market capitalization is a good way to estimate the value of First American uage its performance over time. This information may sometimes be enough for investors to make reasonable market timing decisions.
First Revenue by Product
First American Total Value Analysis
First American is currently forecasted to have company total value of 6.2 B with market capitalization of 5.79 B, debt of 2.42 B, and cash on hands of 1.22 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the First American fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
6.2 B | 5.79 B | 2.42 B | 1.22 B |
First American Investor Information
About 91.0% of the company shares are owned by institutional investors. The company has price-to-book (P/B) ratio of 1.12. Some equities with similar Price to Book (P/B) outperform the market in the long run. First American has Price/Earnings To Growth (PEG) ratio of 2.04. The entity last dividend was issued on the 9th of June 2025. The firm had 3:1 split on the July 20, 1998. Based on the analysis of First American's profitability, liquidity, and operating efficiency, First American is not in a good financial situation at the present time. It has a very high chance of going through financial crunch in August.First American Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. First American has an asset utilization ratio of 41.05 percent. This implies that the Company is making $0.41 for each dollar of assets. An increasing asset utilization means that First American is more efficient with each dollar of assets it utilizes for everyday operations.First American Ownership Allocation
First American holds a total of 102.9 Million outstanding shares. The majority of First American outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to obtain positions in First American to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in First American. Please pay attention to any change in the institutional holdings of First American as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.First American Profitability Analysis
The company reported the last year's revenue of 6.12 B. Total Income to common stockholders was 132.6 M with profit before taxes, overhead, and interest of 3.84 B.First American Past Distributions to stockholders
| 16th of June 2025 | ||
| 17th of March 2025 | ||
| 16th of December 2024 | ||
| 27th of September 2024 | ||
| 17th of June 2024 | ||
| 10th of June 2024 | ||
| 15th of March 2024 | ||
| 15th of December 2023 | ||
| 15th of September 2023 |
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates First American's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in First American and how it compares across the competition.
About First American Valuation
The stock valuation mechanism determines First American's current worth on a weekly basis. Our valuation model uses a comparative analysis of First American. We calculate exposure to First American's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of First American's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 6.1 B | 5.2 B | |
| Pretax Profit Margin | 0.03 | 0.03 | |
| Operating Profit Margin | 0.03 | 0.03 | |
| Net Profit Margin | 0.02 | 0.02 | |
| Gross Profit Margin | (0.16) | (0.15) |
First American Quarterly Retained Earnings |
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A single share of First American represents a small ownership stake in the entity. As a stockholder of First, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
First American Dividends Analysis For Valuation
At this time, First American's Dividend Yield is most likely to increase slightly in the upcoming years. The First American's current Dividend Payout Ratio is estimated to increase to 1.77, while Dividends Paid is forecasted to increase to (209.7 M). . At this time, First American's Retained Earnings Total Equity is most likely to increase significantly in the upcoming years. The First American's current Price Earnings Ratio is estimated to increase to 51.96, while Retained Earnings are projected to decrease to roughly 1.9 B.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | -220.7 M | -209.7 M | |
| Dividend Yield | 0.03 | 0.04 | |
| Dividend Payout Ratio | 1.68 | 1.77 | |
| Dividend Paid And Capex Coverage Ratio | 2.04 | 1.59 |
There are various types of dividends First American can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of First shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from First American directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When First pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of First American by the value of the dividends paid out.
First American Growth Indicators
Investing in growth stocks can be very risky. If the company such as First American does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 104.3 M | |
| Quarterly Earnings Growth Y O Y | 0.583 | |
| Forward Price Earnings | 9.3809 |
First American Current Valuation Indicators
Valuation refers to the process of determining the present value of First American and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value First we look at many different elements of the entity such as First's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as First American, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use First American's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes First American's worth.Complementary Tools for First Stock analysis
When running First American's price analysis, check to measure First American's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy First American is operating at the current time. Most of First American's value examination focuses on studying past and present price action to predict the probability of First American's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move First American's price. Additionally, you may evaluate how the addition of First American to your portfolios can decrease your overall portfolio volatility.
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