First American Financial (FAF) is a Top Dividend Stock Right Now: Should You Buy?

Company Overview - First American Financial (FAF) is headquartered in Santa Ana and operates in the Finance sector, with a stock price change of 4.04% since the beginning of the year [3]. Dividend Information - FAF currently pays a dividend of $0.54 per share, resulting in a dividend yield of 3.33%, which is significantly higher than the Insurance - Property and Casualty industry's yield of 0.59% and the S&P 500's yield of 1.57% [3]. - The annualized dividend of $2.16 has increased by 0.9% from the previous year, and over the past five years, the company has raised its dividend five times, averaging an annual increase of 4.66% [4]. Earnings Growth Expectations - For the fiscal year, FAF anticipates solid earnings growth, with the Zacks Consensus Estimate for 2025 projected at $5.28 per share, indicating a year-over-year growth rate of 20% [5]. Investment Appeal - FAF is considered a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold), making it an attractive option for income investors [7].