First Advantage (NYSE:FA) Trading Down 4.6% – Here’s What Happened

Shares of First Advantage Co. (NYSE:FA) traded down 4.6% during mid-day trading on Monday . The company traded as low as $10.38 and last traded at $10.37. 599,801 shares traded hands during mid-day trading, a decline of 47% from the average session volume of 1,141,756 shares. The stock had previously closed at $10.87.

Analyst Ratings Changes

Several research firms have weighed in on FA. Citigroup dropped their price target on First Advantage from $16.00 to $15.00 and set a “neutral” rating for the company in a research report on Friday, March 6th. Zacks Research lowered First Advantage from a “strong-buy” rating to a “hold” rating in a research note on Monday, January 5th. Finally, Barclays upgraded First Advantage from an “equal weight” rating to an “overweight” rating and lifted their price objective for the stock from $14.00 to $15.00 in a research report on Friday, March 6th. Two 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 presently has a consensus rating of “Hold” and an average price target of $16.75.

First Advantage Price Performance

The company has a market capitalization of $1.86 billion, a price-to-earnings ratio of 355.00 and a beta of 1.19. The company has a fifty day simple moving average of $12.29 and a two-hundred day simple moving average of $13.72. 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 (NYSE:FA) last posted its quarterly earnings data on Thursday, February 26th. The company reported $0.30 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.26 by $0.04. First Advantage had a return on equity of 13.16% and a net margin of 0.65%.The firm’s revenue was up 36.8% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.18 EPS. First Advantage has set its FY 2026 guidance at 1.150-1.250 EPS. As a group, research analysts anticipate that First Advantage Co. will post 0.74 earnings per share for the current year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the stock. Invesco Ltd. boosted its position in shares of First Advantage by 10.8% in the fourth quarter. Invesco Ltd. now owns 139,192 shares of the company’s stock worth $2,022,000 after acquiring an additional 13,554 shares during the last quarter. Cat Rock Capital Management LP raised its stake in First Advantage by 8.9% during the fourth quarter. Cat Rock Capital Management LP now owns 3,342,818 shares of the company’s stock worth $48,571,000 after purchasing an additional 274,449 shares during the period. Susquehanna Fundamental Investments LLC acquired a new position in shares of First Advantage in the 4th quarter valued at $452,000. Palisade Capital Management LP boosted its holdings in shares of First Advantage by 4.7% in the 4th quarter. Palisade Capital Management LP now owns 1,765,111 shares of the company’s stock valued at $25,647,000 after purchasing an additional 79,664 shares during the last quarter. Finally, Balyasny Asset Management L.P. purchased a new stake in shares of First Advantage during the 4th quarter valued at $773,000. Institutional investors and hedge funds own 94.91% of the company’s stock.

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.