Which Is a Better Investment, American Financial Group Inc or First American Financial Corp Stock?

By Jenna Brashear
September 02, 2026
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Sifting through countless of stocks in the Insurance industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in American Financial Group, Inc. or First American Financial Corporation because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how American Financial Group, Inc. and First American Financial Corporation compare based on key financial metrics to determine which better meets your investment needs.

About American Financial Group, Inc. and First American Financial Corporation

American Financial Group, Inc., an insurance holding company, provides property and casualty insurance products in the United States. It operates through Property and Casualty Insurance and Other segments. The company offers property and transportation insurance products, such as physical damage and liability coverage for buses and trucks, other specialty transportation niches, inland and ocean marine, agricultural-related products, and other commercial property coverages; specialty casualty insurance, including primarily excess and surplus, executive and professional liability, general liability, umbrella and excess liability, and specialty coverage in targeted markets, as well as customized programs for small to mid-sized businesses and workers compensation insurance; and specialty financial insurance products comprising risk management insurance programs for lending and leasing institutions, fidelity and surety products, and trade credit insurance. It sells its property and casualty insurance products through independent insurance agents and brokers. American Financial Group, Inc. was formerly known as American Financial Group Holdings Inc and changed its name to American Financial Group, Inc. in July 1997. The company was founded in 1872 and is headquartered in Cincinnati, Ohio.

First American Financial Corporation, through its subsidiaries, provides financial services. It operates through Title Insurance and Services, and Home Warranty segments. The Title Insurance and Services segment issues title insurance policies on residential and commercial property, as well as offers related products and services internationally. This segment also provides closing and/or escrow services; products, services, and solutions to mitigate risk or otherwise facilitate real estate transactions; appraisals and other valuation-related products and services; lien release, document custodial, and default-related products and services; document generation services; warehouse lending services; and subservices mortgage loans; as well as banking, trust, and wealth management services. In addition, it accommodates tax-deferred exchanges of real estate; and maintains, manages, and provides access to title plant data and records. This segment offers its products through a network of direct operations and agents in various states and in the District of Columbia, as well as in Canada, the United Kingdom, Australia, New Zealand, South Korea, and internationally. The Home Warranty segment provides home warranty products, including residential service contracts that cover residential systems, such as heating and air conditioning systems, and certain appliances against failures that occur as the result of normal usage during the coverage period. This segment operates in various states and the District of Columbia. First American Financial Corporation was founded in 1889 and is based in Santa Ana, California.

Latest Insurance and American Financial Group, Inc., First American Financial Corporation Stock News

As of September 1, 2026, American Financial Group, Inc. had a $11.8 billion market capitalization, compared to the Insurance median of $7.2 million. American Financial Group, Inc.’s stock is NA in 2026, NA in the previous five trading days and up 4.83% in the past year.

Currently, American Financial Group, Inc.’s price-earnings ratio is 12.4. American Financial Group, Inc.’s trailing 12-month revenue is $8.1 billion with a 11.8% net profit margin. Year-over-year quarterly sales growth most recently was 5.8%. Analysts expect adjusted earnings to reach $12.387 per share for the current fiscal year. American Financial Group, Inc. currently has a 2.5% dividend yield.

Currently, First American Financial Corporation’s price-earnings ratio is 10.2. First American Financial Corporation’s trailing 12-month revenue is $8.0 billion with a 9.3% net profit margin. Year-over-year quarterly sales growth most recently was 15.0%. Analysts expect adjusted earnings to reach $7.142 per share for the current fiscal year. First American Financial Corporation currently has a 3.0% dividend yield.

How We Compare American Financial Group, Inc. and First American Financial Corporation Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at American Financial Group, Inc. and First American Financial Corporation’s stock grades to see how they measure up against one another.

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American Financial Group, Inc. and First American Financial Corporation’s Quality Grades

Company Ticker Quality
American Financial Group, Inc. AFG C
First American Financial Corporation FAF C

Like the Value Grade, AAII’s A+ Investor Quality Grade comes from the percentile rank of key metrics. Specifically, the Quality Score is the percentile rank of the average of the percentile ranks of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and the F-Score.

The score is variable, meaning it can consider all eight measures or, should any of the eight measures not be valid, the remaining measures that are valid. To be assigned a Quality Score, stocks must have a valid (non-null) measure and corresponding ranking for at least four of the eight quality measures.

The Quality Score is used to assess the underlying “quality” of a particular stock. A higher-quality stock possesses traits associated with upside potential and reduced downside risk. Backtesting of the Quality Grade shows that stocks with higher grades, on average, outperformed stocks with lower grades over the period of 1998 through 2019.

Stocks receive better grades (higher scores) for having higher scores for the quality subcomponents and worse grades (lower scores) for lower scores for the subcomponents.

American Financial Group, Inc. has a Quality Score of 57, which is Average. First American Financial Corporation has a Quality Score of 49, which is Average.

The Quality Stock Winner: No Clear Winner

Neither American Financial Group, Inc. or First American Financial Corporation has a high enough Quality Grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if American Financial Group, Inc. or First American Financial Corporation is the better investment when it comes to quality.

American Financial Group, Inc. and First American Financial Corporation’s Momentum Grades

Company Ticker Momentum
American Financial Group, Inc. AFG C
First American Financial Corporation FAF C

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

American Financial Group, Inc. has a Momentum Score of 50, which is Average. First American Financial Corporation has a Momentum Score of 60, which is Average.

The Momentum Stock Winner: No Clear Winner

Neither American Financial Group, Inc. or First American Financial Corporation has a strong enough Momentum Grade to be considered a “winner.” Investors considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if American Financial Group, Inc. or First American Financial Corporation is the better investment when it comes to momentum.

American Financial Group, Inc. and First American Financial Corporation’s Estimate Revisions Grades

Company Ticker Earnings Estimate
American Financial Group, Inc. AFG B
First American Financial Corporation FAF B

Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

American Financial Group, Inc. has a Earnings Estimate Score of 61, which is Positive. First American Financial Corporation has a Earnings Estimate Score of 66, which is Positive.

The Earnings Estimate Revisions Grade Winner: It’s a Tie!

Looking at the Earnings Estimate Revisions Grade breakdown above, both American Financial Group, Inc. and First American Financial Corporation have a grade of B. For those focusing solely on a company’s estimate revisions, other financial metrics will need to be evaluated to determine whether American Financial Group, Inc. or First American Financial Corporation is a better fit.

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Other American Financial Group, Inc. and First American Financial Corporation Grades

In addition to Quality, Momentum and Estimate Revisions, A+ Investor also provides grades for Value and Growth.

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Growth investing builds on the idea that stocks of companies exhibiting strong, consistent and prolonged growth outperform those of slower-growth companies. AAII measures growth through consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations.

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection. Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether American Financial Group, Inc. and First American Financial Corporation pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, American Financial Group, Inc. or First American Financial Corporation Stock?

Overall, American Financial Group, Inc. stock has a Momentum Score of 50, Estimate Revisions Score of 61 and Quality Score of 57.

First American Financial Corporation stock has a Momentum Score of 60, Estimate Revisions Score of 66 and Quality Score of 49.

Comparing American Financial Group, Inc. and First American Financial Corporation’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

Learn More About A+ Investor

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.



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