First Advantage (NYSE:FA) Releases FY 2026 Earnings Guidance

First Advantage (NYSE:FA) updated its FY 2026 earnings guidance on Thursday morning. The company provided earnings per share (EPS) guidance of 1.23-1.290 for the period, compared to the consensus estimate of 1.210. The company issued revenue guidance of $1.7 billion-$1.7 billion, compared to the consensus revenue estimate of $1.7 billion.

First Advantage Stock Performance

NYSE:FA opened at $20.56 on Thursday. The company has a debt-to-equity ratio of 0.61, a quick ratio of 3.85 and a current ratio of 3.85. First Advantage has a fifty-two week low of $8.82 and a fifty-two week high of $22.78. The company has a 50 day simple moving average of $18.54 and a two-hundred day simple moving average of $14.56. The company has a market capitalization of $3.53 billion, a PE ratio of 685.33 and a beta of 1.17.

First Advantage (NYSE:FA) last issued its quarterly earnings results on Thursday, May 7th. The company reported $0.26 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.21 by $0.05. First Advantage had a net margin of 0.65% and a return on equity of 13.16%. During the same period in the prior year, the company posted $0.17 EPS. The firm’s quarterly revenue was up 8.6% compared to the same quarter last year. Research analysts anticipate that First Advantage will post 0.74 earnings per share for the current year.

Wall Street Analysts Forecast Growth

FA has been the subject of a number of analyst reports. Royal Bank Of Canada lifted their target price on shares of First Advantage from $17.00 to $21.00 and gave the stock a “sector perform” rating in a research note on Monday. Barclays upped their price target on shares of First Advantage from $15.00 to $20.00 and gave the company an “overweight” rating in a research report on Friday, May 8th. Citigroup lifted their price objective on First Advantage from $15.00 to $18.00 and gave the stock a “neutral” rating in a research report on Monday, May 11th. JPMorgan Chase & Co. boosted their price objective on First Advantage from $15.00 to $18.00 and gave the company an “overweight” rating in a research note on Friday, May 8th. Finally, Stifel Nicolaus set a $18.00 target price on First Advantage in a research report on Friday, May 8th. Two research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat.com, First Advantage has a consensus rating of “Hold” and an average price target of $19.00.

Insider Transactions at First Advantage

In other First Advantage news, Director James Lindsey Clark sold 4,921 shares of the firm’s stock in a transaction on Monday, June 8th. The shares were sold at an average price of $15.69, for a total value of $77,210.49. Following the completion of the sale, the director directly owned 56,844 shares in the company, valued at approximately $891,882.36. This trade represents a 7.97% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 4.40% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On First Advantage

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Brighton Jones LLC bought a new stake in First Advantage during the 4th quarter worth approximately $257,000. Picton Mahoney Asset Management bought a new stake in First Advantage during the fourth quarter worth $378,000. Foyston Gordon & Payne Inc purchased a new stake in First Advantage in the 4th quarter valued at $235,000. Freestone Grove Partners LP bought a new position in First Advantage during the 3rd quarter valued at $328,000. Finally, BNP Paribas Financial Markets boosted its holdings in First Advantage by 120.5% during the 3rd quarter. BNP Paribas Financial Markets now owns 15,804 shares of the company’s stock worth $243,000 after acquiring an additional 8,638 shares during the last quarter. Institutional investors own 94.91% of the company’s stock.

About First Advantage

First Advantage is a global provider of background screening, identity verification and workforce risk management solutions. The company delivers a comprehensive suite of services that help employers verify candidate credentials, manage regulatory compliance and mitigate risk throughout the employee lifecycle. Its platform is built to integrate with leading human capital management and applicant tracking systems, enabling a seamless and scalable experience for organizations of all sizes.

The company’s core offerings include pre-employment and continuous background screening, digital identity verification, drug and health testing, and ongoing employee monitoring.