Compound Radar

First American Financial Corporation (FAF) Stock Analysis

Price $71.38
Market cap $7.29B
Next earnings Oct 21, 2026
Entry status Watch $64.71–$68.71

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.

Full track record →
Entry $69.48
Return +2.7%
QQQ -0.6%
Alpha vs QQQ +3.4%

Health Check

Last analyzed Sep 7, 2026

70
70/100 High Quality
  • Financial Health 65
  • Profitability 85
  • Business Quality 65
  • Balance Sheet 65
  • Cash Flow 68

Why this rating?

Health 70/100 — High Quality

Strongest Profitability 85/100
Softest Balance Sheet 65/100
Watch

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.

View all in Insurance - Specialty →

FAQ

How Compound Radar scores and tracks First American Financial Corporation (FAF).

View Methodology & FAQ →