First Advantage (NYSE:FA) Sets New 12-Month High – Should You Buy?

First Advantage Co. (NYSE:FA) hit a new 52-week high on Monday . The stock traded as high as $22.78 and last traded at $22.2220, with a volume of 2050058 shares. The stock had previously closed at $22.35.

Analyst Ratings Changes

FA has been the topic of several recent research reports. JPMorgan Chase & Co. boosted their price objective on shares of First Advantage from $15.00 to $18.00 and gave the company an “overweight” rating in a research note on Friday, May 8th. Barclays raised their price objective 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 upped their price target on shares of First Advantage from $15.00 to $18.00 and gave the stock a “neutral” rating in a research note on Monday, May 11th. Finally, Stifel Nicolaus set a $18.00 price objective on First Advantage in a report on Friday, May 8th. Two research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $18.50.

First Advantage Price Performance

The stock has a market capitalization of $3.81 billion, a price-to-earnings ratio of 739.33 and a beta of 1.17. The company has a quick ratio of 3.85, a current ratio of 3.85 and a debt-to-equity ratio of 0.61. The company has a 50 day moving average of $17.19 and a 200 day moving average of $14.06.

First Advantage (NYSE:FA) last released its earnings results on Thursday, May 7th. The company reported $0.26 earnings per share (EPS) for the quarter, beating 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 business earned $0.17 earnings per share. The company’s revenue was up 8.6% compared to the same quarter last year. First Advantage has set its FY 2026 guidance at 1.150-1.250 EPS. As a group, equities research analysts forecast that First Advantage Co. will post 0.74 EPS for the current fiscal year.

Insider Transactions at First Advantage

In related news, President Joelle M. Smith sold 23,334 shares of the stock in a transaction that occurred on Thursday, May 7th. The shares were sold at an average price of $15.00, for a total transaction of $350,010.00. Following the completion of the sale, the president owned 19,393 shares of the company’s stock, valued at approximately $290,895. This represents a 54.61% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director James Lindsey Clark sold 4,921 shares of the stock in a transaction on Monday, June 8th. The stock was sold at an average price of $15.69, for a total transaction of $77,210.49. Following the completion of the sale, the director directly owned 56,844 shares of the company’s stock, valued at $891,882.36. The trade was a 7.97% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 4.40% of the stock is currently owned by insiders.

Institutional Trading of First Advantage

Several large investors have recently modified their holdings of the business. SG Americas Securities LLC increased its holdings in First Advantage by 8,338.6% during the 4th quarter. SG Americas Securities LLC now owns 777,275 shares of the company’s stock worth $11,294,000 after purchasing an additional 768,064 shares during the last quarter. Brighton Jones LLC acquired a new position in shares of First Advantage in the 4th quarter valued at about $257,000. BloombergSen Inc. grew its holdings in shares of First Advantage by 41.6% during the fourth quarter. BloombergSen Inc. now owns 377,216 shares of the company’s stock valued at $5,481,000 after purchasing an additional 110,892 shares during the last quarter. Capital World Investors grew its stake in First Advantage by 9.4% during the 4th quarter. Capital World Investors now owns 9,098,714 shares of the company’s stock worth $132,204,000 after buying an additional 780,200 shares during the last quarter. Finally, North Star Asset Management Inc. increased its holdings in shares of First Advantage by 60.3% in the 4th quarter. North Star Asset Management Inc. now owns 253,661 shares of the company’s stock worth $3,686,000 after acquiring an additional 95,425 shares during the period. 94.91% of the stock is currently owned by institutional investors and hedge funds.

First Advantage Company Profile

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.