First Acceptance (FACO) AI Stock Analysis

• Market Cap: $194.19M
• Dividend Yield: N/A
• Average Volume (3M): 9.82K
• Price to Earnings (P/E): 5.3
• Beta (1Y): 0.38
• Revenue Growth: -7.26%
• EPS Growth: -62.71%
• Country: US
• Employees: 633
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Specialty
• EPS (TTM): 0.24
• Shares Outstanding: 38,150,906
• 10 Day Avg. Volume: 7,392
• 30 Day Avg. Volume: 9,824
• PEG Ratio: 0.28
• Price to Book (P/B): 0.79
• Price to Sales (P/S): 0.31
• P/FCF Ratio: 3.41
• Enterprise Value/Market Cap: 0.78
• Enterprise Value/Revenue: 0.30
• Enterprise Value/Gross Profit: 1.24
• Enterprise Value/Ebitda: 3.50
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: $5.50 ▲(29.41% Upside)
• Action: Reiterated Date: 03/24/26
• Date: Action: Reiterated 03/24/26

The score is driven primarily by improved financial performance (profitable with positive cash generation and better leverage), tempered by year-to-year volatility in revenue/margins and historical cash flow weakness. Technicals add support with an established uptrend and constructive momentum, while valuation is a notable positive due to the low P/E.

Positive Factors

Niche Business Model

Serving the non-standard auto-insurance niche gives the company a structurally defensible market with steady demand from customers underserved by standard carriers. Durable underwriting expertise, agent networks and tailored pricing support repeat premium revenue and reduce direct competition over time.

Negative Factors

Revenue and Margin Volatility

Large year-to-year swings in revenue and margins indicate the business is sensitive to underwriting cycles, pricing shifts or loss experience. That volatility makes forecasting reserve needs, pricing adequacy and sustainable profitability harder, increasing execution risk over the medium term.

First Acceptance Business Overview & Revenue Model

Company Description

First Acceptance Corporation, together with its subsidiaries, operates as a retailer, servicer, and underwriter of non-standard personal automobile insurance and related products in the United States. It issues non-standard automobile insurance po...

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First Acceptance Corporation, together with its subsidiaries, operates as a retailer, servicer, and underwriter of non-standard personal automobile insurance and related products in the United States. It issues non-standard automobile insurance po...

How the Company Makes Money

First Acceptance Corporation generates revenue through the sale of non-standard auto insurance policies. Customers pay premiums for insurance coverage, which the company collects as its primary income stream. FACO also earns money through fees ass...

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First Acceptance Corporation generates revenue through the sale of non-standard auto insurance policies. Customers pay premiums for insurance coverage, which the company collects as its primary income stream. FACO also earns money through fees ass...

First Acceptance Financial Statement Overview

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	506.34M	559.43M	487.54M	302.30M	285.25M
Gross Profit	200.89M	40.53M	33.48M	-15.11M	2.05M
EBITDA	43.11M	38.61M	105.40M	-16.32M	999.00K
Net Income	30.23M	26.29M	73.91M	-17.49M	-1.23M
Balance Sheet
Total Assets	725.62M	680.39M	570.37M	355.94M	322.65M
Cash, Cash Equivalents and Short-Term Investments	78.30M	173.08M	302.67M	162.40M	180.49M
Total Debt	45.53M	45.40M	46.02M	55.30M	51.97M
Total Liabilities	525.74M	510.83M	428.52M	55.30M	51.97M
Stockholders Equity	199.88M	169.56M	141.85M	65.52M	92.90M
Cash Flow
Free Cash Flow	46.57M	51.79M	83.82M	-8.10M	-10.46M
Operating Cash Flow	47.14M	52.12M	85.16M	-3.89M	-6.60M
Investing Cash Flow	-48.48M	-75.53M	-24.53M	-7.22M	34.48M
Financing Cash Flow	-6.28M	-446.00K	83.00K	-642.00K	-15.30M

First Acceptance Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.25
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FACO, the sentiment is Positive. The current price of 4.25 is below the 20-day moving average (MA) of 4.61, below the 50-day MA of 4.35, and above the 200-day MA of 3.80, indicating a bullish trend. The MACD of 0.20 indicates Negative momentum. The RSI at 76.02 is Negative, neither overbought nor oversold. The STOCH value of 98.55 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FACO.

First Acceptance Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FACO	73 Outperform	$194.19M	5.26	16.42%	―	-7.26%	-62.71%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
HIPO	65 Neutral	$666.16M	13.17	15.26%	―	34.48%	―
JRVR	61 Neutral	$285.01M	6.16	7.44%	0.63%	-19.08%	56.21%
EIG	59 Neutral	$813.76M	95.96	1.04%	2.94%	1.69%	-52.43%
MBI	50 Neutral	$296.94M	-1.73	―	―	―	67.72%