First American Financial Corporation (FAF) on Decifer

Decifer ranks FAF number 134 of 265 tracked names on durable business quality.

Why it ranks here

• It earns strong returns on the money it puts to work, around 18% and those returns have been improving and it turns most of its profit into real cash.
• Revenue is growing about 22% a year, profits grew 378% over the past year, and growth is speeding up, not slowing down.
• It keeps a high share of every sale as profit.
• It is riding an active market tailwind and has the balance sheet to fund its growth.
• It is not watering down its owners with new shares and it returns cash to shareholders.
• Strong 18 percent returns and 378 percent profit growth show life but have no funded worldview tailwind, capping the upside even with momentum of 7 out of 35.

The current read

The evidence on FAF lines up on the supportive side: a live market force supports this name through its theme connection. The independent signals we track are telling the same story.

Themes

• Specialty & E&S Insurance Hardening: Climate-driven catastrophe losses and complex emerging risks are pushing coverage out of admitted markets into a hard-pricing specialty and E&S market growing above the broader P&C industry.

Read the full FAF research brief · See all quality rankings

Intelligence data powered by Decifer. Not financial advice. For informational purposes only.