FAF vs ORI: Which Is the Better Buy in 2026?

Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.

Reading it: FAF is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.

The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. FAF and ORI share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.

This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined FAF and ORI exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.

First American Financial Corporation is one of the largest title insurance and settlement-services providers in the United States, holding roughly 23 percent of the title underwriter market and ranking with Fidelity National Financial at the top of a concentrated industry. Its core business issues title insurance policies that protect lenders and homebuyers against defects in property ownership, and it provides the escrow, closing, and settlement services that sit at the center of nearly every US real estate transaction. Beyond the title segment, First American runs a home warranty business, a data and analytics operation built on one of the industry's largest property databases, and a growing bank that holds customer deposits and escrow balances.

Full FAF guide

Old Republic International Corporation is a Chicago-based insurance holding company that operates through two primary segments. Its Specialty Insurance segment, which generated roughly 67 percent of 2025 operating revenue, writes commercial property and casualty coverage for businesses, governments, and institutions across sectors like transportation, commercial construction, healthcare, energy, and financial services. Its Title Insurance segment, the second-largest title insurer in the United States with roughly a mid-teens share of the market, insures against defects in real-estate titles and provides escrow, closing, and related settlement services. A small life and accident business sits within Corporate and Other operations.

Full ORI guide

Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.

• FAF drivers: Commercial and data-center strength; Investment income on float and deposits.
• ORI drivers: Specialty insurance expansion; Capital return to shareholders.

A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: First American's results are tightly tied to the real estate cycle, so a prolonged housing slowdown, high mortgage rates, or a commercial real estate downturn would cut transaction volumes and premiums. For ORI, the title business is cyclical and can weaken sharply when housing turnover and mortgage activity slow.

Pick FAF if you believe its drivers more; ORI if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the FAF and ORI guides.

FAF. As of July 2026, First American trades at roughly 10 to 11 times trailing earnings, a modest multiple typical of cyclical financials, with a dividend yield near 3 percent and a payout ratio around a third of earnings. First-quarter 2026 revenue rose about 16 percent year over year to roughly $1.8 billion as record commercial activity offset soft residential purchase volumes, and the low multiple reflects the market pricing in real estate cyclicality and interest-rate sensitivity.

ORI. Old Republic trades at a modest single-digit-to-low-double-digit earnings multiple, consistent with a mature insurer valued for capital return rather than rapid growth. First-quarter 2026 revenue rose about 16.5 percent year over year to roughly $2.4 billion, though operating profit softened as the combined ratio rose to about 96.6 percent. The regular dividend yield sits near 3 percent, and total shareholder cash returns are boosted by periodic special dividends and buybacks.

Headline figures (approximate, July 2026): FAF shows revenue (ttm) ~$7B, q1 2026 revenue ~$1.8B, q1 2026 net income ~$125M ($1.21 diluted EPS), eps (trailing) ~$6.5; ORI shows revenue (ttm) ~$9.5 billion, q1 2026 revenue ~$2.4 billion (up ~16.5% YoY), q1 2026 net income ~$330 million, market cap ~$9.8 billion.

FAF and ORI are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined FAF and ORI exposure against your real portfolio. It is not an investment adviser.