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FAF (First American Financial) GF Value : $57.80 (As of May. 02, 2025)


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What is First American Financial GF Value?

As of today (2025-05-02), First American Financial's share price is $61.81. First American Financial's GF Value is $57.80. Therefore, First American Financial's Price-to-GF-Value for today is 1.07. Based on the relationship between the current stock price and the GF Value, GuruFocus believes First American Financial is Fairly Valued.

The GF Value represents the intrinsic value of a stock, determined using GuruFocus' proprietary methodology. The GF Value Line on our stock Summary page provides an estimate of the stock’s fair-trading value.

To calculate this value, GuruFocus follows these steps:

  1. We analyze historical correlations between the stock price and key business performance metrics, such as revenue, earnings, cash flow, and book value.
  2. We identify the metrics that have the strongest historical correlation with the stock price and determine the historical multiples at which the stock has traded relative to these metrics.
  3. Using these historical multiples as a reference, we estimate the stock's fair value while accounting for future business growth. Adjustments may be made based on the company’s past returns and growth trends.

GuruFocus believes that the GF Value Line represents the fair value at which a stock should trade. Stock prices typically fluctuate around this line. If a stock’s price is significantly above the GF Value Line, it is considered overvalued, and its future returns are likely to be lower. Conversely, if the stock price is significantly below the GF Value Line, its future returns are likely to be higher.


First American Financial  (NYSE:FAF) GF Value Explanation

Based on the relationship between the current stock price and the GF Value, GuruFocus provides the following 6 ratings:

Posssible Evaluations All-in-One Screener Examples (1)
Possible Value Trap, Think TwicePredictable Companies that possibly be Value Traps
Significantly OvervaluedPredictable Companies which are Significantly Overvalued
Modestly OvervaluedPredictable Companies which are Modestly Overvalued
Fairly ValuedPredictable High Quality Companies which are Fairly Valued
Modestly Undervalued (2)Predictable High Quality Companies which are Modestly Undervalued
Significantly Undervalued (2)Predictable High Quality Companies which are Significantly Undervalued

(1) These are some simple examples. You can access our GF Valuation filter under All-in-One Screener’s Fundamental tab, and Price-to-GF-Value filter under Valuation Ratio tab and set your own criteria.

(2) A sufficient margin of safety exists only when the stock is undervalued.


Possible Value Trap, Think Twice companies are those that appear significantly undervalued based on their Price-to-GF-Value ratio, but whose fundamentals show signs of weakness.

Indicators that a company may be a value trap include:

    * Deteriorating Financial Health: A low Altman Z-scores indicates a higher risk of bankruptcy, or a low Piotroski F-Score.
    * Earnings Manipulation: A high Beneish M-score indicates potential earnings manipulation, raising concerns about the reliability of reported financials.
    * Stagnant or Declining Growth: Lack of revenue or earnings growth, or a recent slowdown, may signal limited future prospects.

Investors should conduct thorough due diligence, examining financial statements and growth indicators, to avoid falling into value traps.


First American Financial's Price-to-GF-Value for today is calculated as

Price-to-GF-Value=Share Price/GF Value
=61.81/57.80
=1.07

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


First American Financial GF Value Related Terms

Thank you for viewing the detailed overview of First American Financial's GF Value provided by GuruFocus.com. Please click on the following links to see related term pages.


First American Financial Business Description

Traded in Other Exchanges
N/A
Address
1 First American Way, Santa Ana, CA, USA, 92707-5913
First American Financial Corp is a financial services business providing insurance through segments: Title insurance and related services segment include real estate insurance, property closing services, third-party handling of real estate funds (escrow), risk mitigation, real estate data products, and related real estate transaction services; The home warranty segment provides residential service contracts that cover residential systems, such as heating and air conditioning systems, and certain appliances against failures that occur as the result of normal usage during the coverage period; and The corporate segment includes investments in venture-stage companies, certain financing facilities and corporate services supporting the company's business operations.
Executives
Lisa W Cornehl officer: SVP, Chief Legal Officer 1 FIRST AMERICAN WAY, SANTA ANA CA 92886
Mark Edward Seaton officer: Senior Vice President 1 FIRST AMERICAN WAY, SANTA ANA CA 92707
Dennis J Gilmore officer: Chief Executive Officer 1 FIRST AMERICAN WAY, SANTA ANA CA 92707
Steven A Adams officer: VP & Chief Accounting Officer 2260 E IMPERIAL HIGHWAY, EL SEGUNDO X1 90245
Christopher Michael Leavell officer: COO of Subsidiary 1 FIRST AMERICAN WAY, SANTA ANA CA 92707
Marsha A Spence director 1 FIRST AMERICAN WAY, SANTA ANA CA 92707
Kenneth D Degiorgio director, officer: Executive Vice President
Jean C Latorre director 1 FIRST AMERICAN WAY, SANTA ANA CA 92707
Mark C Oman director ONE HOME CAMPUS X2401-06X, DES MOINES IA 50328
Matthew F. Wajner officer: Chief Accounting Officer 1 FIRST AMERICAN WAY, SANTA ANA CA 92707
Martha B Wyrsch director
Reginald Harold Gilyard director 1 FIRST AMERICAN WAY, SANTA ANA CA 92707
Parker S Kennedy director, officer: Executive Chairman 114 EAST FIFTH STREET, SANTA ANA CA 92701
James L Doti director
Margaret M Mccarthy director AETNA INC., 151 FARMINGTON AVENUE, HARTFORD CT 06156