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What Analyst Projections for Key Metrics Reveal About First American Financial (FAF) Q3 Earnings

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Wall Street analysts forecast that First American Financial (FAF - Free Report) will report quarterly earnings of $1.15 per share in its upcoming release, pointing to a year-over-year decline of 5.7%. It is anticipated that revenues will amount to $1.67 billion, exhibiting an increase of 12.6% compared to the year-ago quarter.

The consensus EPS estimate for the quarter has undergone an upward revision of 4.9% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.

Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.

While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.

Bearing this in mind, let's now explore the average estimates of specific First American Financial metrics that are commonly monitored and projected by Wall Street analysts.

It is projected by analysts that the 'Revenues- Net investment income' will reach $135.23 million. The estimate indicates a change of -2.8% from the prior-year quarter.

Analysts' assessment points toward 'Revenues- Agent premiums' reaching $654.00 million. The estimate indicates a change of -1.6% from the prior-year quarter.

The consensus estimate for 'Revenues- Direct premiums and escrow fees' stands at $631.77 million. The estimate suggests a change of +6.1% year over year.

Analysts expect 'Revenues- Information and other' to come in at $253.75 million. The estimate points to a change of +3.3% from the year-ago quarter.

View all Key Company Metrics for First American Financial here>>>

Over the past month, First American Financial shares have recorded returns of +2.9% versus the Zacks S&P 500 composite's +4.5% change. Based on its Zacks Rank #4 (Sell), FAF will likely underperform the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>


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