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FIRST ADVANTAGE CORP (FA) Stock Fundamental Analysis

USA - Nasdaq - NASDAQ:FA - US31846B1089 - Common Stock

14.15 USD
-0.64 (-4.33%)
Last: 1/23/2026, 8:00:02 PM
14.15 USD
0 (0%)
After Hours: 1/23/2026, 8:00:02 PM
Fundamental Rating

3

Taking everything into account, FA scores 3 out of 10 in our fundamental rating. FA was compared to 88 industry peers in the Professional Services industry. FA may be in some trouble as it scores bad on both profitability and health. FA has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

2

1. Profitability

1.1 Basic Checks

  • In the past year FA was profitable.
  • FA had a positive operating cash flow in the past year.
  • In multiple years FA reported negative net income over the last 5 years.
  • Each year in the past 5 years FA had a positive operating cash flow.
FA Yearly Net Income VS EBIT VS OCF VS FCFFA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2019 2020 2021 2022 2023 2024 0 100M -100M 200M

1.2 Ratios

  • FA has a worse Return On Assets (-3.60%) than 63.64% of its industry peers.
  • The Return On Equity of FA (-10.65%) is worse than 67.05% of its industry peers.
  • FA has a worse Return On Invested Capital (0.15%) than 63.64% of its industry peers.
Industry RankSector Rank
ROA -3.6%
ROE -10.65%
ROIC 0.15%
ROA(3y)0.97%
ROA(5y)-0.2%
ROE(3y)0.47%
ROE(5y)-1.55%
ROIC(3y)N/A
ROIC(5y)N/A
FA Yearly ROA, ROE, ROICFA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2019 2020 2021 2022 2023 2024 0 10 -10 -20 -30

1.3 Margins

  • With a Operating Margin value of 0.47%, FA is not doing good in the industry: 61.36% of the companies in the same industry are doing better.
  • Looking at the Gross Margin, with a value of 45.88%, FA is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
  • FA's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 0.47%
PM (TTM) N/A
GM 45.88%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.84%
GM growth 5Y-0.52%
FA Yearly Profit, Operating, Gross MarginsFA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2019 2020 2021 2022 2023 2024 0 20 40

3

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FA is destroying value.
  • FA has more shares outstanding than it did 1 year ago.
  • The number of shares outstanding for FA has been increased compared to 5 years ago.
  • The debt/assets ratio for FA is higher compared to a year ago.
FA Yearly Shares OutstandingFA Yearly Shares OutstandingYearly Shares Outstanding 2019 2020 2021 2022 2023 2024 50M 100M 150M
FA Yearly Total Debt VS Total AssetsFA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2019 2020 2021 2022 2023 2024 1B 2B 3B

2.2 Solvency

  • Based on the Altman-Z score of 1.01, we must say that FA is in the distress zone and has some risk of bankruptcy.
  • FA's Altman-Z score of 1.01 is on the low side compared to the rest of the industry. FA is outperformed by 68.18% of its industry peers.
  • FA has a Debt/Equity ratio of 1.62. This is a high value indicating a heavy dependency on external financing.
  • With a Debt to Equity ratio value of 1.62, FA is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 1.62
Debt/FCF N/A
Altman-Z 1.01
ROIC/WACC0.02
WACC7.71%
FA Yearly LT Debt VS Equity VS FCFFA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2019 2020 2021 2022 2023 2024 0 500M 1B 1.5B 2B

2.3 Liquidity

  • A Current Ratio of 2.26 indicates that FA has no problem at all paying its short term obligations.
  • With an excellent Current ratio value of 2.26, FA belongs to the best of the industry, outperforming 80.68% of the companies in the same industry.
  • A Quick Ratio of 2.26 indicates that FA has no problem at all paying its short term obligations.
  • FA has a better Quick ratio (2.26) than 80.68% of its industry peers.
Industry RankSector Rank
Current Ratio 2.26
Quick Ratio 2.26
FA Yearly Current Assets VS Current LiabilitesFA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M 500M

6

3. Growth

3.1 Past

  • FA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.08%.
  • Looking at the last year, FA shows a very strong growth in Revenue. The Revenue has grown by 93.41%.
  • Measured over the past years, FA shows a quite strong growth in Revenue. The Revenue has been growing by 12.29% on average per year.
EPS 1Y (TTM)-1.08%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%15.38%
Revenue 1Y (TTM)93.41%
Revenue growth 3Y6.49%
Revenue growth 5Y12.29%
Sales Q2Q%105.48%

3.2 Future

  • The Earnings Per Share is expected to grow by 15.25% on average over the next years. This is quite good.
  • The Revenue is expected to grow by 26.52% on average over the next years. This is a very strong growth
EPS Next Y26.12%
EPS Next 2Y22.09%
EPS Next 3Y15.25%
EPS Next 5YN/A
Revenue Next Year79.6%
Revenue Next 2Y37.34%
Revenue Next 3Y26.52%
Revenue Next 5YN/A

3.3 Evolution

  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
FA Yearly Revenue VS EstimatesFA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 500M 1B 1.5B
FA Yearly EPS VS EstimatesFA Yearly EPS VS EstimatesYearly EPS VS Estimates 2021 2022 2023 2024 2025 2026 2027 0.2 0.4 0.6 0.8 1

5

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 15.38, the valuation of FA can be described as correct.
  • Compared to the rest of the industry, the Price/Earnings ratio of FA indicates a somewhat cheap valuation: FA is cheaper than 72.73% of the companies listed in the same industry.
  • When comparing the Price/Earnings ratio of FA to the average of the S&P500 Index (27.21), we can say FA is valued slightly cheaper.
  • With a Price/Forward Earnings ratio of 11.58, the valuation of FA can be described as very reasonable.
  • Based on the Price/Forward Earnings ratio, FA is valued cheaply inside the industry as 80.68% of the companies are valued more expensively.
  • The average S&P500 Price/Forward Earnings ratio is at 24.26. FA is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 15.38
Fwd PE 11.58
FA Price Earnings VS Forward Price EarningsFA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FA is on the same level as its industry peers.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 17.94
FA Per share dataFA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • FA's earnings are expected to grow with 15.25% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.59
PEG (5Y)N/A
EPS Next 2Y22.09%
EPS Next 3Y15.25%

0

5. Dividend

5.1 Amount

  • No dividends for FA!.
Industry RankSector Rank
Dividend Yield 0%

FIRST ADVANTAGE CORP / FA FAQ

What is the fundamental rating for FA stock?

ChartMill assigns a fundamental rating of 3 / 10 to FA.


What is the valuation status of FIRST ADVANTAGE CORP (FA) stock?

ChartMill assigns a valuation rating of 5 / 10 to FIRST ADVANTAGE CORP (FA). This can be considered as Fairly Valued.


Can you provide the profitability details for FIRST ADVANTAGE CORP?

FIRST ADVANTAGE CORP (FA) has a profitability rating of 2 / 10.


What are the PE and PB ratios of FIRST ADVANTAGE CORP (FA) stock?

The Price/Earnings (PE) ratio for FIRST ADVANTAGE CORP (FA) is 15.38 and the Price/Book (PB) ratio is 1.89.


What is the earnings growth outlook for FIRST ADVANTAGE CORP?

The Earnings per Share (EPS) of FIRST ADVANTAGE CORP (FA) is expected to grow by 26.12% in the next year.