Essent Group Ltd (ESNT)vsFirst American Corporation (FAF)
ESNT
Essent Group Ltd
$68.18
-0.23%
FINANCIAL SERVICES · Cap: $6.15B
FAF
First American Corporation
$71.78
+0.84%
FINANCIAL SERVICES · Cap: $7.43B
Smart Verdict
WallStSmart Research — data-driven comparison
First American Corporation generates 503% more annual revenue ($7.98B vs $1.32B). ESNT leads profitability with a 51.4% profit margin vs 9.3%. ESNT appears more attractively valued with a PEG of 0.84. ESNT earns a higher WallStSmart Score of 73/100 (B).
ESNT
Strong Buy73
out of 100
Grade: B
FAF
Strong Buy70
out of 100
Grade: B
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 51 of every $100 in revenue as profit
Strong operational efficiency at 65.7%
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Reasonable price relative to book value
Earnings expanding 50.4% YoY
15.0% revenue growth
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : ESNT
The strongest argument for ESNT centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 51.4% and operating margin at 65.7%. Revenue growth of 13.6% demonstrates continued momentum.
Bull Case : FAF
The strongest argument for FAF centers on P/E Ratio, Price/Book, EPS Growth. Revenue growth of 15.0% demonstrates continued momentum.
Bear Case : ESNT
The primary concerns for ESNT are Piotroski F-Score.
Bear Case : FAF
The primary concerns for FAF are PEG Ratio.
Key Dynamics to Monitor
ESNT profiles as a mature stock while FAF is a value play — different risk/reward profiles.
FAF carries more volatility with a beta of 1.23 — expect wider price swings.
FAF is growing revenue faster at 15.0% — sustainability is the question.
FAF generates stronger free cash flow (317M), providing more financial flexibility.
Bottom Line
ESNT scores higher overall (73/100 vs 70/100), backed by strong 51.4% margins and 13.6% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Essent Group Ltd
FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA
Essent Group Ltd., provides private mortgage insurance and reinsurance for mortgages secured by residential properties located in the United States. The company is headquartered in Hamilton, Bermuda.
First American Corporation
FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA
First American Financial Corporation, provides financial services. The company is headquartered in Santa Ana, California.
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