Lastly, title insurer First American Financial Corporation(FAF, Financial) detracted from relative performance, although shares traded higher on an absolute basis. FAF delivered solid quarterly results highlighted by record pre-tax title margin, strong order trends in both the purchase and refinance businesses and continued cost efficiencies. The firm also initiated a process to sell its non -core property and casualty business, increased its dividend and announced an expansion of the share repurchase program. Looking forward, we believe the market continues to underappreciate FAF's scale and operating leverage and think there continues to be a long runway for earnings and intrinsic value growth.
From John Rogers (Trades, Portfolio)' Ariel Fund fourth-quarter 2020 shareholder commentary.
