First American Corporation (FAF)vsRadian Group Inc (RDN)
FAF
First American Corporation
$64.97
-1.80%
FINANCIAL SERVICES · Cap: $6.49B
RDN
Radian Group Inc
$35.84
-0.91%
FINANCIAL SERVICES · Cap: $4.72B
Smart Verdict
WallStSmart Research — data-driven comparison
First American Corporation generates 390% more annual revenue ($8.09B vs $1.65B). RDN leads profitability with a 32.5% profit margin vs 9.1%. RDN appears more attractively valued with a PEG of 0.76. RDN earns a higher WallStSmart Score of 78/100 (B+).
FAF
Buy56
out of 100
Grade: C
RDN
Strong Buy78
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
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 31.6%
Revenue surging 93.5% year-over-year
Safe zone — low bankruptcy risk
Areas to Watch
Expensive relative to growth rate
Earnings declined 6.5%
Earnings declined 16.2%
Comparative Analysis Report
WallStSmart ResearchBull Case : FAF
The strongest argument for FAF centers on P/E Ratio, Price/Book.
Bull Case : RDN
The strongest argument for RDN centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 32.5% and operating margin at 31.6%. Revenue growth of 93.5% demonstrates continued momentum.
Bear Case : FAF
The primary concerns for FAF are PEG Ratio, EPS Growth.
Bear Case : RDN
The primary concerns for RDN are EPS Growth.
Key Dynamics to Monitor
FAF profiles as a value stock while RDN is a growth play — different risk/reward profiles.
FAF carries more volatility with a beta of 1.26 — expect wider price swings.
RDN is growing revenue faster at 93.5% — sustainability is the question.
RDN generates stronger free cash flow (627M), providing more financial flexibility.
Bottom Line
RDN scores higher overall (78/100 vs 56/100), backed by strong 32.5% margins and 93.5% revenue growth. Both earn "Strong Buy" and "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.
First American Corporation
FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA
First American Financial Corporation, provides financial services. The company is headquartered in Santa Ana, California.
Radian Group Inc
FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA
Radian Group Inc. is engaged in the mortgage and real estate services business in the United States. The company is headquartered in Philadelphia, Pennsylvania.
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