First American Financial Corporation (FAF) Stock Analysis
Last updated Sep 8, 2026
Published Opportunity
This stock was published as a Compound Radar opportunity on Jul 6, 2026. Performance is tracked publicly from the original signal.
Health Check
Last analyzed Sep 7, 2026
- Financial Health 65
- Profitability 85
- Business Quality 65
- Balance Sheet 65
- Cash Flow 68
Why this rating?
Health 70/100 — High Quality
Worth tracking, but timing is mixed — not a clear setup yet.
Company overview
First American Financial Corporation (FAF) is a Insurance - Specialty company in the Financial Services sector. Compound Radar rates First American Financial Corporation 70/100 (High Quality) due to solid business quality, strong revenue growth, and manageable leverage.
Investment profile
- Quality Moderate
- Growth Strong
- Balance Sheet Adequate
- Valuation Attractive
Financial highlights
Valuation
- P/E 9.9
- Forward P/E 9.66
- PEG 2.98
- EV/Revenue 0.94
Profitability
- Revenue Growth 15.0%
- Gross Margin 64.0%
- Operating Margin 15.6%
- Net Margin 9.3%
- ROE 13.8%
Financial strength
- Cash $2.73B
- Debt $2.79B
- Net Cash $-61.10M
- Free Cash Flow $762.50M
- Current Ratio 0.4
Similar companies
Peers in Insurance - Specialty, ranked by Financial Health.
Latest quoted price for the name. Helps anchor the setup in today’s market level.
Health Entry- Essent Group Ltd. Insurance - Specialty ESNT$68.44 73 Health 73 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Watch WatchWorth tracking, but timing is mixed — not a clear setup yet.
- MGIC Investment Corporation Insurance - Specialty MTG$30.66 70 Health 70 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Watch WatchWorth tracking, but timing is mixed — not a clear setup yet.
- Radian Group Inc. Insurance - Specialty RDN$36.05 67 Health 67 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Strong Entry Strong EntryTiming looks favorable across trend, momentum, valuation, support, and catalysts.
- Fidelity National Financial, Inc. Insurance - Specialty FNF$44.65 64 Health 64 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
FAQ
How Compound Radar scores and tracks First American Financial Corporation (FAF).