First American Financial Corporation

FAF Financial Insurance Specialty

First American Financial Corporation’s revenue for fiscal 2025 (year ended December 2025) was $7.5 billion, up 21.6% from fiscal 2024.

Revenue
+5.34%
EPS
−6.52%
Free cash flow
−12.3%
Total debt
+0.08%

Quarter to September 2026, against a year earlier

67.94 0.27 +0.40%
Market cap
$7.0B
P/E
9.5×
Fwd P/E
9.6×
Dividend yield
3.33%
F-score
8/9
Altman Z
n/a
Beneish M
n/a
Dividend safety
n/a

First American Financial Corporation (FAF) Return on invested capital

Alert me on Return on invested capital

First American Financial Corporation's return on invested capital over the twelve months to 30 September 2026 was 14.7%, up 3.0 percentage points from fiscal 2025 (11.7%). Over the past ten years it has ranged from 5.04% (fiscal 2024) to 18.3% (fiscal 2021); the current reading is higher than 36% of that period. That is above the Insurance Specialty industry median of 9.88% and above the Financial sector median of 4.70%.

Return on invested capital, annual

Embed this chart

Annual newest first

Period Return on invested capital Change (points)
FY2025 11.7% 6.67
FY2024 5.04% (6.05)
FY2023 11.1% 4.85
FY2022 6.24% (12.04)
FY2021 18.3% 3.35
FY2020 14.9% (2.52)
FY2019 17.5% 2.50
FY2018 15.0% 2.77
FY2017 12.2% (0.94)
FY2016 13.1% (1.13)

Against its own ten years

Low 5.04% High 18.3%
Ten-year median 13.1%
Current reading's percentile 36

Return on invested capital against peers

Company Return on invested capital
FAF First American Financial Corporation 14.7%
AXS Axis Capital Holdings Limited compare 12.6%
FNF Fidelity National Financial, Inc. compare 11.3%
MTG MGIC Investment Corporation compare 10.8%
NMIH NMI Holdings Inc compare 10.4%
ACT Enact Holdings, Inc. compare 9.88%
ESNT Essent Group Ltd. compare 8.77%
RDN Radian Group Inc. compare 7.69%
AGO Assured Guaranty Ltd. compare 3.91%
Insurance Specialty industry median 9.88%
Financial sector median 4.70%
Market median 0.00%

What Return on invested capital is

Return on Invested Capital shows how much after-tax operating profit a company earns on the money its lenders and shareholders have put in.

TTM: (Operating Income × 0.625) ÷ (Shareholders Equity (Total) (latest quarter) + Long Term Debt (Total) (latest quarter) + Current Part of Debt (latest quarter) − Cash & Short Term Investments (latest quarter)); Annual: (Operating Income × 0.625) ÷ (Shareholders Equity (Total) + Long Term Debt (Total) + Current Part of Debt − Cash & Short Term Investments)

The full definition of Return on invested capital →

More on FAF