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First American FinancialFRA:Y1F -1.65%76 FCF Margin % is 14.99% as of Jun. 2026, which is 40% above its 10-year median of 10.67. GuruFocus rates FRA:Y1F with a GF Score™ of 76/100 and a GF Value™ of €61.30 (Fairly Valued). The stock has 7 warning signs investors should review. Among 504 Insurance companies, First American Financial ranks better than 52.38% on this metric.
* 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.
FRA:Y1F vs ACT, ESNT, MTG: FCF Margin % Comparison
For the Insurance - Specialty subindustry, First American Financial's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
First American Financial FCF Margin % vs Insurance Industry
For the Insurance industry and Financial Services sector, First American Financial's FCF Margin % distribution charts can be found below:
* The bar in red indicates where First American Financial's FCF Margin % falls into.
* 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 (FRA:Y1F) has a FCF Margin % of 14.99% as of Jun. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on First American Financial and its competitors. This is 40% above median its historical median of 10.67. Over the past decade, First American Financial's FCF Margin % has ranged from 1.52 to 13.71. According to the industry distribution chart, First American Financial ranks #240 out of 504 companies in the Insurance industry, placing it in the top 47.6%.
Is First American Financial's FCF Margin % too high?
First American Financial's current FCF Margin % of 14.99% is 40% above median its 10-year median of 10.67. Over the past 10 years, this metric has ranged from a low of 1.52 to a high of 13.71. The Insurance industry median FCF Margin % is 9.88. First American Financial's value of 14.99% is 51.8% above this industry median. Based on the distribution chart, First American Financial ranks #240 out of 504 companies in the Insurance industry, which is above the industry midpoint. Overall, First American Financial has a GF Score™ of 76/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does First American Financial's FCF Margin % compare to ACT and ESNT?
According to the Insurance industry distribution chart, First American Financial ranks #240 out of 504 companies for FCF Margin %. This puts First American Financial in the upper half of its industry. The industry median FCF Margin % is 9.88. First American Financial's value of 14.99% is 51.8% above this benchmark. Historically, First American Financial's own FCF Margin % has ranged from 1.52 to 13.71 over the past decade. While the company's 10-year median is 10.67 vs. the industry median of 9.88, First American Financial has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for an Insurance company?
The median FCF Margin % among Insurance companies is 9.88, based on 504 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. First American Financial's current FCF Margin % of 14.99% is 51.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on First American Financial and its competitors. For the Insurance industry, the median FCF Margin % is 9.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. First American Financial's current FCF Margin % is 14.99%, which is 40% above median its own 10-year median of 10.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is First American Financial stock overvalued right now?
Based on GuruFocus' analysis, First American Financial (FRA:Y1F) is currently considered Fairly Valued. The stock's GF Value™ is €61.30, compared to a current price of €59.50 — trading 2.9% below its estimated fair value. The current FCF Margin % is 14.99%, which is 40% above median its 10-year median of 10.67 and 51.8% above the Insurance industry median of 9.88. First American Financial's overall GF Score™ is 76/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For First American Financial (FRA:Y1F), the current FCF Margin % is 14.99% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is First American Financial (FRA:Y1F) Overvalued in 2026?
Based on GuruFocus' analysis, First American Financial stock appears to be undervalued.
The current stock price of €59.50 is trading 2.9% below its estimated GF Value™ of €61.30.
GuruFocus considers First American Financial to be Fairly Valued.
Key valuation signals for FRA:Y1F:
FCF Margin %: 14.99% (40% above median its 10-year median of 10.67)
GF Value™: €61.30 vs. price of €59.50 (2.9% below fair value)
Industry Position: 51.8% above the Insurance median (#240 of 504)
No single metric tells the full story. See the FRA:Y1F stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
First American Financial Corp is engaged in the business of providing title insurance, settlement services, and other financial services and risk solutions. The group's reportable segments are: Title insurance and services, Home warranty, and Corporate. Maximum revenue is generated from the Title insurance and services segment, which provides title insurance, closing, escrow, and related services domestically and internationally in connection with residential and commercial real estate transactions. This segment also provides solutions to mitigate risk and facilitate real estate transactions, along with offering banking, trust, warehouse lending, mortgage subservicing and wealth management services. The majority of the group's revenue is generated from escrow fees and insurance premiums.
76GF Score
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FCF Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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