Fidelity National Financial is the largest title insurance company in the US. It has a 33% market share and is a dominant player in the sub-sector. The insurance industry has multiple segments. There are health insurance, life insurance, property and casualty insurance, auto insurance, title insurance, and many other niches. The title insurance looks promising, especially since the housing market in the US is going through a bull run. Interest rates are at historic lows, and getting a mortgage has rarely been as cheap as it is right now. The economy is also opening back up, and the demand for housing looks solid at the moment. Homebuilding activity has also been quite robust. If you are an investor looking for the best insurance company stocks to buy, Fidelity National Financial could be worth exploring.
Fidelity National Financial 4Q2020 Earnings Results
On 24th February 2021, Fidelity National Financial reported its fourth-quarter 2020 earnings results. The total revenue earned increased from $2.4 billion in Q42019 to $3.8 billion in Q42020. Diluted earnings per share were also significantly higher at $2.74 per share than $1.22 per share in Q42019. The title segment, the largest one for Fidelity National Financial, earned revenues of $3 billion as compared to $2.3 billion in Q42019. Company Chairman William Foley added, “In the fourth quarter, our Board approved a 9.0% increase in our quarterly cash dividend to $0.36 per share and announced a plan targeting $500 million of share repurchases, based on market conditions over the following twelve months. During the quarter, we repurchased 3.8 million shares at an average purchase price of $36.77 per share.” Fidelity National Financial looks like a promising option for someone looking to buy insurance stock now.
Fidelity National Financial is America’s largest title insurance company. It does business through its brand name underwriters like Chicago Title, Fidelity National Title, Alamo Title, Commonwealth Land Title, and National Title of New York.