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Added to YB: 2026-02-13

Pitch date: 2026-02-12

FA [bullish]

First Advantage Corporation

-8.57%

current return

Author Info

Valuations is a disciplined value investor. A systematic approach to finding high-quality companies, valuing the equity and acquiring shares at a discount. Sign up for the newsletter.

Company Info

First Advantage Corporation provides employment background screening, identity, and verification solutions worldwide.

Market Cap

$1.9B

Pitch Price

$10.50

Price Target

20.00 (+108%)

Dividend

N/A

EV/EBITDA

16.94

P/E

-13.70

EV/Sales

2.63

Sector

Professional Services

Category

turnaround

Show full summary:
First Advantage Corporation - $FA

FA: Tactical trade on labor mkt inflection at 8x FY26 EV/EBITDA, 6% FCF yield. -47% from highs on soft hiring but labor bottoming (130k Jan jobs vs 55k est). Database moat: 780M+ proprietary records, 100+ HCM integrations, 96-97% retention. Sterling synergies ahead of sched ($52M actioned vs $50-70M target). Base: $15 (43% upside), bull: $20 (90%). Risks: 51.5% Silver Lake overhang, sustained hiring weakness, AI commoditization long-term

Read full article (6 min)