First American Financial Co. (NYSE:FAF) to Issue $0.53 Quarterly Dividend

First American Financial Co. (NYSE:FAF) declared a quarterly dividend on Wednesday, May 22nd, Wall Street Journal reports. Stockholders of record on Monday, June 10th will be paid a dividend of 0.53 per share by the insurance provider on Monday, June 17th. This represents a $2.12 annualized dividend and a dividend yield of 3.78%. The ex-dividend date of this dividend is Monday, June 10th.

First American Financial has increased its dividend by an average of 5.7% annually over the last three years and has increased its dividend annually for the last 14 consecutive years. First American Financial has a payout ratio of 41.6% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect First American Financial to earn $5.27 per share next year, which means the company should continue to be able to cover its $2.12 annual dividend with an expected future payout ratio of 40.2%.

First American Financial Price Performance

Shares of FAF traded down $1.58 on Wednesday, hitting $56.15. The company’s stock had a trading volume of 329,247 shares, compared to its average volume of 674,833. The company has a market capitalization of $5.82 billion, a PE ratio of 27.61 and a beta of 1.28. First American Financial has a fifty-two week low of $49.55 and a fifty-two week high of $65.54. The company has a 50 day moving average price of $56.86 and a 200 day moving average price of $58.77.

First American Financial (NYSE:FAF) last announced its earnings results on Thursday, April 25th. The insurance provider reported $0.45 EPS for the quarter, missing the consensus estimate of $0.67 by ($0.22). First American Financial had a return on equity of 8.17% and a net margin of 3.64%. The business had revenue of $1.42 billion during the quarter, compared to analyst estimates of $1.42 billion. During the same period in the previous year, the firm earned $0.49 earnings per share. The firm’s revenue was down 1.5% compared to the same quarter last year. On average, equities analysts forecast that First American Financial will post 3.97 EPS for the current year.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on FAF. Stephens restated an “overweight” rating and issued a $72.00 price objective on shares of First American Financial in a research report on Thursday, April 25th. TheStreet cut shares of First American Financial from a “b-” rating to a “c+” rating in a research report on Tuesday, March 12th. Finally, Keefe, Bruyette & Woods upgraded shares of First American Financial from a “market perform” rating to an “outperform” rating and upped their target price for the company from $66.00 to $69.00 in a research report on Thursday, March 21st. Three research analysts have rated the stock with a hold rating and four have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, First American Financial currently has an average rating of “Moderate Buy” and an average price target of $67.75.

First American Financial Company Profile

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.