AlphaStocks
7.4
Consider Buy

First American Financial Corp (FAF)

As of Sep 20, 2026, First American Financial Corp (FAF) scores 7.4/10 on AlphaStocks' five-model composite, #23 of 265 Financials stocks. At $70, FAF trades 26% above its model fair value of $55.

Financials / Property & Casualty Insurance

S&P MidCap 400

$69.62

Above average across most dimensions. A solid candidate.

Consider Buy

Score based on 4 of 5 models — moderate confidence

Data as of Sep 20, 2026

#23out of 265 in Financials

Is First American Financial Corp a Good Investment in 2026?

First American Financial Corp (FAF) scores 7.4 out of 10 on AlphaStocks' composite model, earning a Consider Buy rating. The Piotroski model rates First American Financial Corp as Strong (8/8). The Graham model is the least favorable, rating it Attractive. First American Financial Corp currently trades 26% above its estimated fair value of $55. First American Financial Corp ranks #23 out of 265 stocks in the Financials sector.

This summary is algorithmically generated and is not financial advice.

Key Metrics

P/E11.6ROE11.5Market Cap7BDiv Yield3.1

Estimated Fair Value

$55.0526% above

Trading above estimated fair value. Rapid eps growth (377%) partially justifies the premium.

Model-based estimate, not a price target.

5-Model Analysis

Each model evaluates this stock from a different angle. Combined, they form the composite score above.

Piotroski

Strong

8/8

Buffett

Strong

Business quality & competitive moat

Graham

Attractive

0% above fair value

Lynch

Limited Data

High PEG — growth premium

Greenblatt

Limited Data

Earnings yield + return on capital

Frequently Asked Questions

Is First American Financial Corp (FAF) a good investment?
As of Sep 20, 2026, First American Financial Corp (FAF) scores 7.4/10 on AlphaStocks' five-model composite, #23 of 265 Financials stocks. At $70, FAF trades 26% above its model fair value of $55. That score is above average across most investment dimensions.
What is First American Financial Corp's Piotroski F-Score?
First American Financial Corp's Piotroski F-Score status is Strong. The raw score is 8/8. The Piotroski F-Score evaluates financial health using 9 fundamental signals including profitability, leverage, and operating efficiency.
Is FAF overvalued or undervalued?
Based on AlphaStocks' model-based fair value estimate of $55, FAF appears overvalued. The stock currently trades 26% above its estimated fair value. Trading above estimated fair value. Rapid eps growth (377%) partially justifies the premium.
How does FAF compare to other Financials stocks?
First American Financial Corp ranks #23 out of 265 stocks in the Financials sector, placing it in the top 9% of its sector by composite score. This is a strong position relative to sector peers.
What do investment models say about FAF?
AlphaStocks evaluates FAF using five proven investment models. Piotroski: Strong; Buffett: Strong; Graham: Attractive. These models are combined into a single composite score of 7.4/10.

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Scores are algorithm-generated research tools, not investment recommendations. Past performance does not guarantee future results. Always do your own due diligence. Full disclaimer