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

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

Analyst Upgrades and Downgrades

A number of analysts have weighed in on the stock. JPMorgan Chase & Co. raised 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. Citigroup lifted their price objective 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. Stifel Nicolaus set a $18.00 price objective on shares of First Advantage in a research note on Friday, May 8th. Finally, Barclays raised their target price 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. Two analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $18.50.

First Advantage Stock Performance

The business has a 50-day moving average of $17.19 and a two-hundred day moving average of $14.06. The company has a debt-to-equity ratio of 0.61, a current ratio of 3.85 and a quick ratio of 3.85. The company has a market cap of $3.81 billion, a P/E ratio of 739.33 and a beta of 1.17.

First Advantage (NYSE:FA) last posted its quarterly earnings data on Thursday, May 7th. The company reported $0.26 EPS for the quarter, topping the consensus estimate 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 quarter last year, the firm posted $0.17 earnings per share. The business’s revenue for the quarter was up 8.6% on a year-over-year basis. First Advantage has set its FY 2026 guidance at 1.150-1.250 EPS. On average, sell-side analysts predict that First Advantage Co. will post 0.74 EPS for the current fiscal year.

Insider Activity at First Advantage

In related news, Director James Lindsey Clark sold 4,921 shares of the company’s stock in a transaction dated 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 transaction, the director owned 56,844 shares in the company, valued at $891,882.36. This represents a 7.97% decrease in their position. 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, President Joelle M. Smith sold 23,334 shares of the firm’s stock in a transaction dated Thursday, May 7th. The stock was sold at an average price of $15.00, for a total transaction of $350,010.00. Following the completion of the transaction, the president directly owned 19,393 shares in the company, valued at approximately $290,895. This represents a 54.61% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 4.40% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of FA. SG Americas Securities LLC grew its holdings in shares of First Advantage by 8,338.6% during the fourth 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 purchased a new stake in First Advantage during the 4th quarter valued at approximately $257,000. BloombergSen Inc. lifted its position in First Advantage by 41.6% during the 4th quarter. BloombergSen Inc. now owns 377,216 shares of the company’s stock worth $5,481,000 after acquiring an additional 110,892 shares during the period. Capital World Investors lifted its position 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 acquiring an additional 780,200 shares during the period. Finally, North Star Asset Management Inc. grew its stake 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 valued at $3,686,000 after purchasing an additional 95,425 shares during the last quarter. Hedge funds and other 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.