Is First American Financial Corp (FAF) Halal?
Shariah Screening — 5 Standards
Based on financial data from December 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | Excluded — Insurance - Specialty | ✗ NOT HALAL | |||
| DJIM | Excluded — Insurance - Specialty | ✗ NOT HALAL | |||
| MSCI | Excluded — Insurance - Specialty | ✗ NOT HALAL | |||
| S&P | Excluded — Insurance - Specialty | ✗ NOT HALAL | |||
| FTSE | Excluded — Insurance - Specialty | ✗ NOT HALAL | |||
Financial Highlights
Profitability
| Gross Margin | 63.8% | |
| Operating Margin | 16.2% | |
| Net Margin | 8.3% | |
| Return on Equity (ROE) | 12.0% | |
| Return on Assets (ROA) | 3.9% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $951M |
| Free Cash Flow | $762M |
| Total Debt | $2.7B |
| Debt-to-Equity | 48.3 |
| Current Ratio | 0.3 |
| Total Assets | $16.2B |
Price & Trading
| Last Close | $59.44 |
| 50-Day MA | $64.73 |
| 200-Day MA | $63.05 |
| Avg Volume | 1.1M |
| Beta | 1.3 |
|
52-Week Range
$53.09
| |
About First American Financial Corp (FAF)
First American Financial Corporation, through its subsidiaries, provides financial services. It operates through Title Insurance and Services, and Home Warranty segments. The Title Insurance and Services segment issues title insurance policies on residential and commercial property, as well as offers related products and services internationally. This segment also provides closing and/or escrow services; products, services, and solutions to mitigate risk or otherwise facilitate real estate transactions; appraisals and other valuation-related products and services; lien release, document custodial, and default-related products and services; document generation services; warehouse lending services; and subservices mortgage loans; as well as banking, trust, and wealth management services. In addition, it accommodates tax-deferred exchanges of real estate; and maintains, manages, and provides access to title plant data and records. This segment offers its products through a network of direct operations and agents in various states and in the District of Columbia, as well as in Canada, the United Kingdom, Australia, New Zealand, South Korea, and internationally. The Home Warranty segment provides home warranty products, including residential service contracts that cover residential systems, such as heating and air conditioning systems, and certain appliances against failures that occur as the result of normal usage during the coverage period. This segment operates in various states and the District of Columbia. First American Financial Corporation was founded in 1889 and is based in Santa Ana, California.
Related Halal Stocks in Financial Services
Frequently Asked Questions
Is First American Financial Corp (FAF) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), First American Financial Corp is Not Halal. The company fails one or more screening criteria. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.
What is First American Financial Corp's debt ratio?
First American Financial Corp's debt ratio is not available under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%.
What are First American Financial Corp's key financial metrics?
First American Financial Corp has a market capitalization of $6.0B, trailing P/E ratio of 9.7, and revenue of $7.4B. The company maintains a gross margin of 63.8% and a net margin of 8.3%. Return on equity stands at 12.0%.
How often is the screening data updated?
Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.
Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.