August 26, 2023
Investment Firm Brown Brothers Harriman & Co. Increases Position in First Advantage Co.
Brown Brothers Harriman & Co., a prominent institutional investor, has recently revealed that it has significantly increased its position in First Advantage Co. (NYSE:FA). According to its most recent disclosure with the SEC, the firm’s ownership of shares has surged by an impressive 750.3% during the first quarter. This corresponds to an acquisition of an additional 119,551 shares, bringing the total number of shares owned by Brown Brothers Harriman & Co. to 135,484.
Based on the disclosed information, it can be inferred that Brown Brothers Harriman & Co.’s stake in First Advantage is equivalent to 0.09% of the company’s outstanding stock. This translates into a market value of approximately $1,891,000 at the end of the specified reporting period.
First Advantage (NYSE:FA) recently released its earnings results on August 9th, shedding light on its financial performance for the quarter. The company’s earnings per share (EPS) for this period amounted to $0.24 – surpassing analysts’ consensus estimates by $0.02 per share.
During this same quarter, First Advantage reported revenue totaling $185.30 million, slightly exceeding projections which estimated revenue at around $182.38 million. However, it should be noted that this figure represents an 8.1% decline compared to revenue generated during the same quarter last year.
Analysts have predicted that First Advantage Co.’s EPS for this fiscal year will amount to approximately 1.01 based on current data and historical trends.
Barclays also made headlines in relation to their assessment of First Advantage’s prospects when they raised their target price for the company from $14.00 to $16.00 subsequent to their analysis conducted on Thursday, August 10th.These insights led Barclays to assign an “equal weight” rating to the company in their report.
According to Bloomberg, First Advantage currently holds an average rating of “Hold” among six equities research analysts. Additionally, there is a consensus price target of $14.80 for its stock.
This recent disclosure by Brown Brothers Harriman & Co. reinforces the positive sentiment surrounding First Advantage and underscores the potential value that the investment firm sees in the company. With increasing institutional interest and favorable earnings results, it will be interesting to monitor how First Advantage continues to perform in the evolving market landscape.
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Institutional Investors and Insiders Show Confidence in First Advantage Co. as Hedge Funds Boost Stakes
First Advantage Co., a leading provider of screening and risk management solutions, has seen significant activity from various hedge funds in recent months. Notably, Diamond Hill Capital Management Inc. increased its stake in the company by 17.1% during the first quarter, now owning over 3 million shares valued at $45 million. Similarly, Dimensional Fund Advisors LP saw substantial growth in its holdings, adding an additional 719,491 shares to its portfolio during the fourth quarter.
Advisory Research Inc. and Zurcher Kantonalbank Zurich Cantonalbank also boosted their stakes in First Advantage by 2.8% and 39.5%, respectively. These moves indicate the confidence institutional investors have in the company’s future prospects and performance.
Moreover, B. Metzler seel. Sohn & Co. AG slightly increased its holdings during the same period by acquiring an additional 2,200 shares of First Advantage’s stock.
A noteworthy development also emerged with insider Bret T. Jardine selling a significant amount of stock on August 16th. Jardine unloaded 12,000 shares at an average price of $15.20 per share, resulting in a total transaction value of $182,4000. After this sale, Jardine now owns approximately 4,537 shares in First Advantage.
This insider transaction has been disclosed as per the requirement set by the Securities & Exchange Commission (SEC). Interested parties can access more information through the accompanying hyperlink.
Analyzing the recent market activity surrounding First Advantage’s stock, it closed at $13.75 on Friday with a trading volume of 87,394 shares. Although lower than its average volume of 318,454 shares per day, this data indicates that there continues to be investor interest in the company.
Over the past year, First Advantage has experienced price fluctuations within a range of $10.07 to $15.89 per share. Currently, the company boasts a market capitalization of $2.00 billion, with a price-to-earnings (P/E) ratio of 42.81 and a price-to-earnings-growth (PEG) ratio of 1.51. These figures demonstrate the company’s financial stability and potential for growth.
Digging deeper into its financial health, First Advantage displays a debt-to-equity ratio of 0.51. This indicates that the company has relatively low levels of debt compared to equity, which is a positive sign for investors as it suggests lower financial risk.
Looking at current asset liquidity, First Advantage possesses both a current and quick ratio of 6.35. These figures highlight the company’s capacity to cover short-term obligations promptly, implying effective cash management practices.
In conclusion, First Advantage’s recent activities with hedge funds and insider transactions have piqued interest in its stock among investors. The company’s consistent performance over time has contributed to its market capitalization and stable financial standing. With comprehensive screening and risk management solutions in place, First Advantage continues to navigate the market successfully while attracting attention from institutional investors and insiders alike.
Disclosure: The author does not hold any positions in First Advantage Co. The article is for informational purposes only and should not be considered investment advice or a recommendation to buy or sell any securities.