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Side-by-side financial comparison of First American Financial Corp (FAF) and WATSCO INC (WSO). Click either name above to swap in a different company.
First American Financial Corp is the larger business by last-quarter revenue ($2.0B vs $1.6B, roughly 1.3× WATSCO INC). First American Financial Corp runs the higher net margin — 10.3% vs 4.5%, a 5.8% gap on every dollar of revenue. On growth, First American Financial Corp posted the faster year-over-year revenue change (21.6% vs -10.0%). WATSCO INC produced more free cash flow last quarter ($388.5M vs $324.5M). Over the past eight quarters, First American Financial Corp's revenue compounded faster (19.9% CAGR vs 0.4%).
First American Financial Corporation is an American financial services company which provides title insurance and settlement services to the real estate and mortgage industries.
Watsco, Inc. is a distributor of air conditioning, heating and refrigeration equipment, and related parts and supplies (HVAC/R) in the United States. Watsco was founded more than 60 years ago as a manufacturer of parts, components, and tools used in the HVAC/R industry. In 1989, the company shifted from manufacturing to distribution, by acquiring Gemaire Distributors Inc., a South Florida-based Rheem distributor.
FAF vs WSO — Head-to-Head
Income Statement — Q4 FY2025 vs Q4 FY2025
| Metric | | |
|---|---|---|
| Revenue | $2.0B | $1.6B |
| Net Profit | $211.9M | $71.7M |
| Gross Margin | — | 27.1% |
| Operating Margin | 14.0% | 6.4% |
| Net Margin | 10.3% | 4.5% |
| Revenue YoY | 21.6% | -10.0% |
| Net Profit YoY | 192.7% | -25.9% |
| EPS (diluted) | $2.04 | $1.82 |
Green = leading value per metric. Periods may differ when fiscal calendars don't align.
8-Quarter Revenue & Profit Trend
Side-by-side quarterly history. Quarters aligned by calendar period so offset fiscal years line up.
| Q4 25 | $2.0B | $1.6B | ||
| Q3 25 | $2.0B | $2.1B | ||
| Q2 25 | $1.8B | $2.1B | ||
| Q1 25 | $1.6B | $1.5B | ||
| Q4 24 | $1.7B | $1.8B | ||
| Q3 24 | $1.4B | $2.2B | ||
| Q2 24 | $1.6B | $2.1B | ||
| Q1 24 | $1.4B | $1.6B |
| Q4 25 | $211.9M | $71.7M | ||
| Q3 25 | $189.6M | $161.6M | ||
| Q2 25 | $146.1M | $183.6M | ||
| Q1 25 | $74.2M | $80.1M | ||
| Q4 24 | $72.4M | $96.8M | ||
| Q3 24 | $-104.0M | $171.0M | ||
| Q2 24 | $116.0M | $181.4M | ||
| Q1 24 | $46.7M | $87.0M |
| Q4 25 | — | 27.1% | ||
| Q3 25 | — | 27.5% | ||
| Q2 25 | — | 29.3% | ||
| Q1 25 | — | 28.1% | ||
| Q4 24 | — | 26.7% | ||
| Q3 24 | — | 26.2% | ||
| Q2 24 | — | 27.1% | ||
| Q1 24 | — | 27.5% |
| Q4 25 | 14.0% | 6.4% | ||
| Q3 25 | 12.5% | 11.4% | ||
| Q2 25 | 10.6% | 13.2% | ||
| Q1 25 | 6.1% | 7.3% | ||
| Q4 24 | 5.9% | 7.8% | ||
| Q3 24 | -10.3% | 11.6% | ||
| Q2 24 | 9.4% | 12.6% | ||
| Q1 24 | 4.1% | 8.1% |
| Q4 25 | 10.3% | 4.5% | ||
| Q3 25 | 9.6% | 7.8% | ||
| Q2 25 | 7.9% | 8.9% | ||
| Q1 25 | 4.7% | 5.2% | ||
| Q4 24 | 4.3% | 5.5% | ||
| Q3 24 | -7.4% | 7.9% | ||
| Q2 24 | 7.2% | 8.5% | ||
| Q1 24 | 3.3% | 5.6% |
| Q4 25 | $2.04 | $1.82 | ||
| Q3 25 | $1.84 | $3.98 | ||
| Q2 25 | $1.41 | $4.52 | ||
| Q1 25 | $0.71 | $1.93 | ||
| Q4 24 | $0.70 | $2.42 | ||
| Q3 24 | $-1.00 | $4.22 | ||
| Q2 24 | $1.11 | $4.49 | ||
| Q1 24 | $0.45 | $2.17 |
Balance Sheet & Financial Strength
Snapshot of each company's liquidity, leverage and book value from the latest quarter.
| Metric | | |
|---|---|---|
| Cash + ST InvestmentsLiquidity on hand | $1.4B | $733.3M |
| Total DebtLower is stronger | — | $361.6M |
| Stockholders' EquityBook value | $5.5B | $2.8B |
| Total Assets | $16.2B | $4.4B |
| Debt / EquityLower = less leverage | — | 0.13× |
8-quarter trend — quarters aligned by calendar period.
| Q4 25 | $1.4B | $733.3M | ||
| Q3 25 | $2.9B | $524.3M | ||
| Q2 25 | $2.0B | $293.0M | ||
| Q1 25 | $2.0B | $431.8M | ||
| Q4 24 | $1.7B | $781.9M | ||
| Q3 24 | $3.0B | $550.0M | ||
| Q2 24 | $2.0B | $424.9M | ||
| Q1 24 | $1.5B | $478.9M |
| Q4 25 | — | $361.6M | ||
| Q3 25 | — | $340.8M | ||
| Q2 25 | — | $338.7M | ||
| Q1 25 | — | $346.4M | ||
| Q4 24 | — | $337.2M | ||
| Q3 24 | — | $321.0M | ||
| Q2 24 | — | $307.1M | ||
| Q1 24 | — | $306.3M |
| Q4 25 | $5.5B | $2.8B | ||
| Q3 25 | $5.3B | $2.8B | ||
| Q2 25 | $5.1B | $2.8B | ||
| Q1 25 | $5.0B | $2.7B | ||
| Q4 24 | $4.9B | $2.7B | ||
| Q3 24 | $5.1B | $2.7B | ||
| Q2 24 | $4.8B | $2.6B | ||
| Q1 24 | $4.8B | $2.5B |
| Q4 25 | $16.2B | $4.4B | ||
| Q3 25 | $17.6B | $4.6B | ||
| Q2 25 | $16.3B | $4.7B | ||
| Q1 25 | $15.5B | $4.5B | ||
| Q4 24 | $14.9B | $4.5B | ||
| Q3 24 | $16.6B | $4.5B | ||
| Q2 24 | $15.2B | $4.4B | ||
| Q1 24 | $14.7B | $4.4B |
| Q4 25 | — | 0.13× | ||
| Q3 25 | — | 0.12× | ||
| Q2 25 | — | 0.12× | ||
| Q1 25 | — | 0.13× | ||
| Q4 24 | — | 0.13× | ||
| Q3 24 | — | 0.12× | ||
| Q2 24 | — | 0.12× | ||
| Q1 24 | — | 0.12× |
Cash Flow & Capital Efficiency
How much cash each business actually produces after reinvestment. Cash flow is harder to manipulate than net income.
| Metric | | |
|---|---|---|
| Operating Cash FlowLast quarter | $369.3M | $399.8M |
| Free Cash FlowOCF − Capex | $324.5M | $388.5M |
| FCF MarginFCF / Revenue | 15.8% | 24.6% |
| Capex IntensityCapex / Revenue | 2.2% | 0.7% |
| Cash ConversionOCF / Net Profit | 1.74× | 5.57× |
| TTM Free Cash FlowTrailing 4 quarters | $762.5M | $535.1M |
8-quarter trend — quarters aligned by calendar period.
| Q4 25 | $369.3M | $399.8M | ||
| Q3 25 | $272.5M | $354.9M | ||
| Q2 25 | $361.8M | $-7.4M | ||
| Q1 25 | $-52.8M | $-177.6M | ||
| Q4 24 | $324.6M | $378.9M | ||
| Q3 24 | $236.9M | $232.8M | ||
| Q2 24 | $266.7M | $57.7M | ||
| Q1 24 | $69.3M | $103.7M |
| Q4 25 | $324.5M | $388.5M | ||
| Q3 25 | $223.1M | $346.1M | ||
| Q2 25 | $309.4M | $-14.3M | ||
| Q1 25 | $-94.5M | $-185.2M | ||
| Q4 24 | $266.2M | $370.9M | ||
| Q3 24 | $185.4M | $223.0M | ||
| Q2 24 | $210.0M | $51.3M | ||
| Q1 24 | $17.6M | $97.9M |
| Q4 25 | 15.8% | 24.6% | ||
| Q3 25 | 11.3% | 16.7% | ||
| Q2 25 | 16.8% | -0.7% | ||
| Q1 25 | -6.0% | -12.1% | ||
| Q4 24 | 15.8% | 21.1% | ||
| Q3 24 | 13.2% | 10.3% | ||
| Q2 24 | 13.0% | 2.4% | ||
| Q1 24 | 1.2% | 6.3% |
| Q4 25 | 2.2% | 0.7% | ||
| Q3 25 | 2.5% | 0.4% | ||
| Q2 25 | 2.8% | 0.3% | ||
| Q1 25 | 2.6% | 0.5% | ||
| Q4 24 | 3.5% | 0.5% | ||
| Q3 24 | 3.7% | 0.5% | ||
| Q2 24 | 3.5% | 0.3% | ||
| Q1 24 | 3.6% | 0.4% |
| Q4 25 | 1.74× | 5.57× | ||
| Q3 25 | 1.44× | 2.20× | ||
| Q2 25 | 2.48× | -0.04× | ||
| Q1 25 | -0.71× | -2.22× | ||
| Q4 24 | 4.48× | 3.91× | ||
| Q3 24 | — | 1.36× | ||
| Q2 24 | 2.30× | 0.32× | ||
| Q1 24 | 1.48× | 1.19× |
Financial Flow Comparison
Revenue → gross profit → operating profit → net profit for each company.
Revenue Breakdown by Segment
FAF
| Title Insurance And Services | $1.9B | 94% |
| Home Warranty | $110.3M | 5% |
WSO
Segment breakdown not available.
