WallStSmart

First American Corporation (FAF)vsRadian Group Inc (RDN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

First American Corporation generates 384% more annual revenue ($7.98B vs $1.65B). RDN leads profitability with a 32.5% profit margin vs 9.3%. RDN appears more attractively valued with a PEG of 0.76. RDN earns a higher WallStSmart Score of 78/100 (B+).

FAF

Strong Buy

70

out of 100

Grade: B

Growth: 6.7Profit: 6.5Value: 5.7Quality: 7.3
Piotroski: 5/9

RDN

Strong Buy

78

out of 100

Grade: B+

Growth: 5.3Profit: 8.0Value: 7.7Quality: 7.0
Piotroski: 5/9Altman Z: 3.07

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FAF4 strengths · Avg: 9.5/10
P/E RatioValuation
10.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

EPS GrowthGrowth
50.4%10/10

Earnings expanding 50.4% YoY

Revenue GrowthGrowth
15.0%8/10

15.0% revenue growth

RDN6 strengths · Avg: 10.0/10
P/E RatioValuation
9.0x10/10

Attractively priced relative to earnings

Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Profit MarginProfitability
32.5%10/10

Keeps 33 of every $100 in revenue as profit

Operating MarginProfitability
31.6%10/10

Strong operational efficiency at 31.6%

Revenue GrowthGrowth
93.5%10/10

Revenue surging 93.5% year-over-year

Altman Z-ScoreHealth
3.0710/10

Safe zone — low bankruptcy risk

Areas to Watch

FAF1 concerns · Avg: 2.0/10
PEG RatioValuation
2.982/10

Expensive relative to growth rate

RDN1 concerns · Avg: 2.0/10
EPS GrowthGrowth
-16.2%2/10

Earnings declined 16.2%

Comparative Analysis Report

WallStSmart Research

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.

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.

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 1.23 — 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 70/100), backed by strong 32.5% margins and 93.5% 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.

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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