First Advantage (NYSE:FA) Shares Down 5.7% – Here’s Why

Shares of First Advantage Co. (NYSE:FA) dropped 5.7% during trading on Monday . The stock traded as low as $11.22 and last traded at $11.2550. Approximately 57,390 shares traded hands during mid-day trading, a decline of 92% from the average daily volume of 678,056 shares. The stock had previously closed at $11.94.

Wall Street Analysts Forecast Growth

FA has been the subject of several analyst reports. Zacks Research cut First Advantage from a “strong-buy” rating to a “hold” rating in a research note on Monday, January 5th. JPMorgan Chase & Co. reduced their price objective on shares of First Advantage from $21.00 to $17.00 and set an “overweight” rating on the stock in a report on Friday, November 7th. Three analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $19.25.

First Advantage Stock Down 5.9%

The company has a debt-to-equity ratio of 0.61, a quick ratio of 3.85 and a current ratio of 3.85. The firm’s 50-day moving average price is $14.40 and its two-hundred day moving average price is $14.89. The firm has a market cap of $1.96 billion, a PE ratio of 374.67 and a beta of 1.17.

First Advantage (NYSE:FA) last announced its quarterly earnings results on Thursday, November 6th. The company reported $0.30 earnings per share for the quarter, beating analysts’ consensus estimates of $0.28 by $0.02. First Advantage had a net margin of 0.65% and a return on equity of 13.16%. The company’s quarterly revenue was up 105.5% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.26 earnings per share. As a group, equities research analysts expect that First Advantage Co. will post 0.74 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in FA. Caitong International Asset Management Co. Ltd grew its position in shares of First Advantage by 1,208.3% during the second quarter. Caitong International Asset Management Co. Ltd now owns 2,368 shares of the company’s stock worth $39,000 after acquiring an additional 2,187 shares during the last quarter. Clearstead Advisors LLC lifted its position in First Advantage by 192.8% during the 4th quarter. Clearstead Advisors LLC now owns 4,333 shares of the company’s stock worth $63,000 after acquiring an additional 2,853 shares during the period. Quantbot Technologies LP acquired a new position in shares of First Advantage in the second quarter valued at approximately $81,000. Parkside Financial Bank & Trust increased its stake in First Advantage by 22.8% in the 2nd quarter. Parkside Financial Bank & Trust now owns 7,164 shares of the company’s stock valued at $119,000 after buying an additional 1,328 shares during the period. Finally, BNP Paribas Financial Markets lifted its stake in shares of First Advantage by 105.7% in the 2nd quarter. BNP Paribas Financial Markets now owns 7,166 shares of the company’s stock worth $119,000 after acquiring an additional 3,682 shares during the period. 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.