First American Q4 revenue beats estimates

First American Financial

11/02/2026 21:24

Overview

Title insurance provider's Q4 revenue grew 22%, beating analyst expectations

Adjusted EPS for Q4 rose to $1.99, reflecting solid execution across the company

Company repurchased 2.1 mln shares for $122 mln and raised dividend by 2% in FY25

Outlook

Company expects record year in commercial business due to improving real estate market

First American anticipates moderate growth in purchase and significant pickup in refinance activity

Company optimistic about AI-driven technology initiatives for long-term value creation

Result Drivers

COMMERCIAL REVENUE - Co reported a 35% increase in commercial revenues, driven by momentum across asset classes

TITLE INSURANCE GROWTH - Title Insurance and Services segment saw a 21% revenue increase, aided by more closed orders and higher revenue per order

INVESTMENT GAINS - Net investment gains of $15 mln contributed to Q4 results, primarily from venture portfolio gains

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Beat
$2.05 bln
$1.82 bln (5 Analysts)
Q4 EPS
$2.05
Q4 Net Income
$211.90 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the property & casualty insurance peer group is "buy"

Wall Street's median 12-month price target for First American Financial Corp is $76.00, about 14.2% above its February 10 closing price of $66.55

The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nBw1hWzSRa

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)