First American Financial (FAF) came out with quarterly earnings of $1.35 per share, beating the Zacks Consensus Estimate of $1.07 per share. This compares to earnings of $0.69 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 26.17%. A quarter ago, it was expected that this financial services company would post earnings of $1.15 per share when it actually produced earnings of $1.34, delivering a surprise of 16.52%.Over the last ...

Financial Performance - Total revenue for Q4 2024 was $1.7 billion, up 18% compared to Q4 2023, while full year revenue reached $6.1 billion, a 2% increase year-over-year[5][8]. - Net income for Q4 2024 was $72 million, or $0.69 per diluted share, compared to $34 million, or $0.33 per diluted share in Q4 2023; full year net income was $131 million, or $1.26 per diluted share[6][8]. - Adjusted net income for Q4 2024 was $142 million, or $1.35 per diluted share, up from $72 million, or $0.69 per diluted share in the same quarter last year[7]. - Total revenues for Q4 2024 were $1,685.1 million, a 18% increase from $1,429.3 million in Q4 2023[33]. - Net income for Q4 2024 was $72.9 million, compared to $34.3 million in Q4 2023, representing a 112% increase[33]. - Total revenues for the year ended December 31, 2024, increased to $6,128.1 million, up from $6,003.5 million in 2023, representing a growth of 2.1%[43]. - Adjusted total revenues for the year ended December 31, 2024, were $6,529.7 million, compared to $6,209.9 million in 2023, indicating a growth of 5.2%[43]. - The adjusted net income for 2024 was $459.0 million, compared to $397.7 million in 2023, reflecting an increase of 15.4%[43]. - Earnings per diluted share (EPS) for 2024 were $1.26, down from $2.07 in 2023, a decline of 39.2%[43]. Revenue Segments - Commercial revenues in Q4 2024 were $252 million, a 47% increase compared to Q4 2023, with a pretax margin of 7.9%[5][12]. - Title Insurance and Services segment revenues for Q4 2024 were $1.6 billion, up 22% year-over-year, driven by a 19% increase in closed title orders[13]. - The Home Warranty segment reported revenues of $103 million in Q4 2024, up from $99 million in Q4 2023, with a pretax margin of 18.1%[22]. - Direct premiums and escrow fees rose to $2,446.0 million in 2024, compared to $2,252.1 million in 2023, marking an increase of 8.6%[43]. - The Title Insurance and Services Segment reported total revenues of $5,737.3 million in 2024, slightly up from $5,724.8 million in 2023[46]. - The Home Warranty Segment's total revenues increased to $425.7 million in 2024 from $417.2 million in 2023, a growth of 2.0%[46]. Operational Metrics - Title orders opened in Q4 2024 were 143,100, up 15% from 124,600 in Q4 2023[33]. - Title orders closed in Q4 2024 were 119,800, a 19% increase from 100,600 in Q4 2023[33]. - Paid title claims increased to $53.2 million in Q4 2024 from $44.4 million in Q4 2023[33]. - Cash flow from operations for 2024 was $897 million, significantly up from $354 million in 2023[5]. - The success ratio improved to 51% in Q4 2024, compared to 57% in Q4 2023[51]. - Total open orders per day decreased to 2,271 in Q4 2024 from 2,595 in Q3 2024[54]. - Average revenue per order (ARPO) increased to $4,343 in Q4 2024, up from $3,926 in Q3 2024[54]. - Closed orders per day remained stable at 1,902 in Q4 2024, slightly up from 1,900 in Q3 2024[54]. - Refinance orders as a percentage of residential orders were 28% in Q4 2024, compared to 26% in Q3 2024[54]. Expenses and Financial Position - Personnel and other operating expenses were $786.8 million, up from $691.0 million, indicating a change of $95.8 million[51]. - The ratio of personnel and other operating expenses to net operating revenues was 82.4% in Q4 2024, down from 90.2% in Q4 2023[51]. - Cash and cash equivalents decreased to $1,718.1 million in 2024 from $3,605.3 million in 2023[36]. - Total assets decreased to $14,908.6 million in 2024 from $16,802.8 million in 2023[36]. - The provision for policy losses and other claims increased significantly to $320.0 million in 2024 from $138.3 million in 2023, an increase of 131.5%[43]. - The effective tax rate for Q4 2024 was 27%, influenced by a valuation reserve against deferred tax assets[7]. Shareholder Returns - The company repurchased 124,000 shares for $8 million at an average price of $65.80 in Q4 2024, and 187,000 shares for $11 million at an average price of $61.31 in 2025 through February 11[5]. - Cash dividends declared per share increased to $0.54 in Q4 2024 from $0.53 in Q4 2023[33].

Wall Street expects a year-over-year increase in earnings on higher revenues when First American Financial (FAF) reports results for the quarter ended December 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released o ...

Looking for a stock that has been consistently beating earnings estimates and might be well positioned to keep the streak alive in its next quarterly report? First American Financial (FAF) , which belongs to the Zacks Insurance - Property and Casualty industry, could be a great candidate to consider.This financial services company has an established record of topping earnings estimates, especially when looking at the previous two reports. The company boasts an average surprise for the past two quarters of 1 ...

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U.S. stock markets are experiencing volatility as we approach the end of 2024. On Dec 18, the Fed cut the Fed fund rate by another 25 basis points to complete the 2024 rate cut cycle with a full 1% deduction. However, the central bank indicated just two rate cuts of 25 basis points in 2025 instead of four suggested in September.At this stage, investors should be prepared to minimize fluctuations in their portfolio and consequently rebalance it with suitable financial assets to maintain stability. It would b ...

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use a variety of methods, incl ...

A month has gone by since the last earnings report for First American Financial (FAF) . Shares have added about 3.9% in that time frame, outperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is First American Financial due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers. First American Q3 Earnings B ...

First American Financial Corporation (FAF) closed at $64.17 on Wednesday, near its 52-week high of $67.88. This proximity underscores investor confidence. It has the ingredients for further price appreciation. The stock is trading above the 200-day simple moving average (SMA) of $59.24, indicating solid upward momentum. SMA is a widely used technical analysis tool to predict future price trends by analyzing historical price data.With a market capitalization of $6.61 billion, the average volume of shares tra ...

Shares of First American Financial (NYSE: FAF ) have been a moderate performer over the past year, gaining about 18%, as the company has faced headwinds from elevated mortgage rates and limited housing transactions. I last covered First American in August, ratingOver fifteen years of experience making contrarian bets based on my macro view and stock-specific turnaround stories to garner outsized returns with a favorable risk/reward profile. If you want me to cover a specific stock or have a question for an ...