First American Financial Co. Plans Quarterly Dividend of $0.54 (NYSE:FAF)

First American Financial Co. (NYSE:FAF) declared a quarterly dividend on Wednesday, January 22nd,RTT News reports. Investors of record on Monday, March 10th will be given a dividend of 0.54 per share by the insurance provider on Monday, March 17th. This represents a $2.16 annualized dividend and a yield of 3.49%.

First American Financial has increased its dividend by an average of 3.3% annually over the last three years and has raised its dividend annually for the last 14 consecutive years. First American Financial has a dividend payout ratio of 35.1% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect First American Financial to earn $5.32 per share next year, which means the company should continue to be able to cover its $2.16 annual dividend with an expected future payout ratio of 40.6%.

First American Financial Stock Performance

Shares of FAF stock traded down $0.70 during mid-day trading on Wednesday, reaching $61.81. The company’s stock had a trading volume of 377,698 shares, compared to its average volume of 482,462. First American Financial has a 1-year low of $51.60 and a 1-year high of $70.92. The company has a market cap of $6.37 billion, a P/E ratio of 69.45 and a beta of 1.33. The firm’s 50-day moving average is $64.47 and its two-hundred day moving average is $63.23.

First American Financial (NYSE:FAF) last announced its quarterly earnings data on Wednesday, October 23rd. The insurance provider reported $1.34 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.15 by $0.19. The company had revenue of $1.41 billion during the quarter, compared to analysts’ expectations of $1.66 billion. First American Financial had a net margin of 1.58% and a return on equity of 7.95%. The business’s revenue was down 5.1% on a year-over-year basis. During the same quarter in the prior year, the company posted $1.22 EPS. Sell-side analysts anticipate that First American Financial will post 4.07 EPS for the current year.

Analyst Ratings Changes

A number of brokerages have commented on FAF. Truist Financial increased their price objective on shares of First American Financial from $68.00 to $73.00 and gave the stock a “buy” rating in a report on Friday, October 25th. Barclays raised their target price on shares of First American Financial from $70.00 to $72.00 and gave the company an “equal weight” rating in a research note on Friday, October 25th. Stephens raised their target price on shares of First American Financial from $66.00 to $73.00 and gave the company an “overweight” rating in a research note on Friday, October 25th. Finally, Keefe, Bruyette & Woods reduced their target price on shares of First American Financial from $80.00 to $74.00 and set a “market perform” rating on the stock in a research note on Wednesday, January 8th. Two investment analysts have rated the stock with a hold rating and two have assigned a buy rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $73.00.

About First American Financial

First American Financial Corporation, through its subsidiaries, provides financial services. It operates through Title Insurance and Services, and Home Warranty segments. The Title Insurance and Services segment issues title insurance policies on residential and commercial property, as well as offers related products and services internationally.