First American Financial (FAF) is moving higher today as investors react to its first-quarter 2026 earnings update and follow-through from the earnings call. The quarter delivered a notable beat versus market expectations, supported by a sharp acceleration in commercial title activity and resilient investment income in the title segment.

For Q1 2026 (ended March 31, 2026), First American reported total revenue of $1.838 billion (up 16% year over year) and net income of $125.1 million, or $1.21 per diluted share. On an adjusted basis, diluted EPS was $1.33, with the company also pointing to stronger segment profitability as Title Insurance and Services pretax margin improved to 9.6% (10.4% adjusted).

The standout datapoint was commercial revenue of $271 million, up 48% year over year, which the company characterized as record first-quarter performance. At the same time, Title Insurance and Services segment investment income rose to $154 million, up 12% from a year earlier, helping results hold up despite softer residential conditions and a lower federal funds rate compared with the prior year period.

Beyond earnings, capital return is also in focus: First American repurchased 556,336 shares for $33 million during the quarter (average price $60.21). The company also disclosed additional repurchases in the second quarter through April 22, totaling 295,872 shares for $18 million (average price $61.61), reinforcing the view that management sees value at recent trading levels.