Provide title insurance policies for residential and commercial properties. Offer closing and escrow services to facilitate real estate transactions. Now — the numbers.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
This is an established company with proven profits.
The market pays 11.8× for every dollar of annual profit — cheap, which is either an opportunity or a warning.
Against companies in its own sector, it looks cheaper than 93% of them.
Analysts' average target sits 16% above today's price.
Executives buying with their own money is usually read as confidence in the company’s future.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit power and business quality lead the class.
For a bank, strength is measured by capital buffers and reserves — not cash minus debt.
The price looks reasonable next to what the company earns.
This grade is a blend: the profit side is strong, the sales tempo slow.
Clearly above the class average — a step short of the very top.
Financial Strength: The capital buffer looks thin next to its class; less room to absorb a rough stretch.
The stock trades below its recent peak — about 11% off the top. A pullback, not a collapse.
Over the last 12 months, company executives reported 23 buys and 22 sells. Management buying with its own money is usually read as a good sign.
It pays out $2.20 per share each year — regular cash for whoever holds the stock.
Over the last 4 years, sales fell about 5% a year on average. Profit is holding up, but a shrinking business is a risk worth watching.
The balance sheet offers little cushion against a rough stretch. Report-card grade: 29/100.
On our five-subject report card, FAF sits near the top of the class. A high grade doesn’t mean “guaranteed win” — it means “the evidence looks strong for now.”
The takeaway: FAF is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s what that quality should cost.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.