FAF

First American Financial Corporation

Financial Services · $6.5B market cap

Verdict

Share price

$62.49

close of Oct 3, 2026

Fair value

$120.71

Sticker Price

Payback Price

$48.28

buy price

Undervalued

FAF is Undervalued: at $62.49 it trades 48% below its fair value of $120.71. Its buy price (Payback Price) is $48.28, 23% below today's price. Business quality is mixed: 2 of 5 key numbers clear the 10% bar.

How we valued it

Justified P/B (Financials). A bank or insurer. These are best valued on their book value and how much they earn on it.

Business quality

2 of 5 clear the 10% bar. What are the Big Five?

Earnings per share growth11.3% a year✓
Equity per share growth7.5% a year✗
Sales growth3.8% a year✗
Free cash flow growth13.4% a year✓
Return on invested capital7.5%✗

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Superinvestors

1 of the investors we track holds FAF. In Q2 2026, 1 trimmed and 1 sold out. Who we track

Moves in Q2 2026

Trimmed: John Rogers

Sold out: Glenn Greenberg

Insider activity

Since Jun 22, 2026: no open-market purchases, 2 sales worth $244K and 4 other filings (stock awards, tax withholding and similar). Why purchases matter

Sales

Other filings

About First American Financial Corporation

First American Financial Corporation (FAF) delivers financial services primarily through its diverse subsidiaries. The company's operations are divided into two main divisions: Title Insurance and Services, and Specialty Insurance. The Title Insurance and Services division is a prominent issuer of title insurance policies for both residential and commercial properties. Beyond core insurance, this segment provides a…

Insurance - Specialty

Fair value and Payback Price are estimates from the company's reported financials, not investment advice. Prices as of the close of Oct 3, 2026. How the Payback Price works

FAF stock (First American Financial Corporation): fair value $120.71, Undervalued — PaybackPrice