First Advantage (NYSE:FA) Sets New 52-Week High – Time to Buy?

First Advantage Co. (NYSE:FA)’s share price hit a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $18.70 and last traded at $18.7350, with a volume of 242672 shares trading hands. The stock had previously closed at $18.05.

Analysts Set New Price Targets

A number of equities analysts recently weighed in on the stock. JPMorgan Chase & Co. boosted their price target on shares of First Advantage from $15.00 to $18.00 and gave the stock an “overweight” rating in a report on Friday, May 8th. Citigroup raised their price objective on shares of First Advantage from $15.00 to $18.00 and gave the stock a “neutral” rating in a report on Monday, May 11th. Barclays lifted their price objective on shares of First Advantage from $15.00 to $20.00 and gave the stock an “overweight” rating in a research report on Friday, May 8th. Finally, Stifel Nicolaus set a $18.00 target price on shares of First Advantage in a research note on Friday, May 8th. Two equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $18.50.

First Advantage Stock Up 8.6%

The firm has a market capitalization of $3.52 billion, a PE ratio of 684.33 and a beta of 1.19. The stock has a 50-day simple moving average of $15.59 and a 200-day simple moving average of $13.64. The company has a quick ratio of 3.85, a current ratio of 3.85 and a debt-to-equity ratio of 0.61.

First Advantage (NYSE:FA) last issued its quarterly earnings results on Thursday, May 7th. The company reported $0.26 EPS for the quarter, beating analysts’ consensus estimates of $0.21 by $0.05. First Advantage had a return on equity of 13.16% and a net margin of 0.65%.First Advantage’s revenue was up 8.6% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.17 EPS. First Advantage has set its FY 2026 guidance at 1.150-1.250 EPS. Analysts forecast that First Advantage Co. will post 0.74 EPS for the current year.

Insider Activity

In other news, President Joelle M. Smith sold 23,334 shares of First Advantage stock in a transaction dated Thursday, May 7th. The shares were sold at an average price of $15.00, for a total value of $350,010.00. Following the completion of the transaction, the president owned 19,393 shares in the company, valued at $290,895. This trade represents a 54.61% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at 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 business’s stock in a transaction that occurred on Monday, June 8th. The shares were 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 in the company, valued at approximately $891,882.36. This trade represents 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 owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the business. Price T Rowe Associates Inc. MD raised its holdings in First Advantage by 4.3% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 13,954,320 shares of the company’s stock valued at $202,757,000 after acquiring an additional 572,580 shares during the period. Capital World Investors boosted its holdings in shares of First Advantage by 9.4% in the fourth quarter. Capital World Investors now owns 9,098,714 shares of the company’s stock worth $132,204,000 after acquiring an additional 780,200 shares during the period. Vanguard Group Inc. boosted its holdings in shares of First Advantage by 2.8% in the third quarter. Vanguard Group Inc. now owns 7,613,968 shares of the company’s stock worth $117,179,000 after acquiring an additional 210,187 shares during the period. Alliancebernstein L.P. grew its position in shares of First Advantage by 18.4% in the third quarter. Alliancebernstein L.P. now owns 6,225,825 shares of the company’s stock valued at $95,815,000 after purchasing an additional 969,314 shares in the last quarter. Finally, Cat Rock Capital Management LP grew its position in shares of First Advantage by 8.9% in the fourth quarter. Cat Rock Capital Management LP now owns 3,342,818 shares of the company’s stock valued at $48,571,000 after purchasing an additional 274,449 shares in the last quarter. 94.91% of the stock is owned by institutional investors.

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.