Enact Holdings Inc (ACT)vsFirst American Corporation (FAF)
ACT
Enact Holdings Inc
$47.77
-0.62%
FINANCIAL SERVICES · Cap: $6.36B
FAF
First American Corporation
$63.55
-1.30%
FINANCIAL SERVICES · Cap: $6.49B
Smart Verdict
WallStSmart Research — data-driven comparison
First American Corporation generates 545% more annual revenue ($8.09B vs $1.25B). ACT leads profitability with a 54.5% profit margin vs 9.1%. FAF trades at a lower P/E of 8.8x. FAF earns a higher WallStSmart Score of 56/100 (C).
ACT
Buy56
out of 100
Grade: C
FAF
Buy56
out of 100
Grade: C
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 55 of every $100 in revenue as profit
Strong operational efficiency at 73.3%
Safe zone — low bankruptcy risk
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
4.1% revenue growth
Expensive relative to growth rate
Earnings declined 6.5%
Comparative Analysis Report
WallStSmart ResearchBull Case : ACT
The strongest argument for ACT centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 54.5% and operating margin at 73.3%.
Bull Case : FAF
The strongest argument for FAF centers on P/E Ratio, Price/Book.
Bear Case : ACT
The primary concerns for ACT are Revenue Growth.
Bear Case : FAF
The primary concerns for FAF are PEG Ratio, EPS Growth.
Key Dynamics to Monitor
FAF carries more volatility with a beta of 1.26 — expect wider price swings.
FAF is growing revenue faster at 5.3% — sustainability is the question.
FAF generates stronger free cash flow (197M), providing more financial flexibility.
Monitor INSURANCE - SPECIALTY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ACT scores higher overall (56/100 vs 56/100), backed by strong 54.5% margins. Both earn "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.
Enact Holdings Inc
FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA
Enact Holdings Inc (ACT) is a prominent player in the U.S. housing sector, specializing in private mortgage insurance and comprehensive risk management solutions that enhance the affordability and accessibility of homeownership. The company is characterized by a strong capital foundation and a commitment to innovation, driven by strategic collaborations that optimize lender operations and navigate complex market dynamics. With a focus on proactive risk management and sustainable housing practices, Enact is well-positioned to seize emerging growth opportunities within the evolving real estate landscape, highlighting its essential role in supporting the housing market.
Visit Website →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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