First Acceptance(OTC) FACO

First Acceptance Corporation operates as a retailer, servicer, and underwriter of non-standard personal automobile insurance in the United States. The company focuses on individuals who may struggle to obtain insurance from standard carriers due to various factors, including payment preferences and driving records.

Products and Services

• Non-standard automobile insurance policies
• Motorcycle, renters, and homeowners insurance
• Term life insurance and roadside assistance

Growth Outlook

• Revenue increased to $123.1 million in Q2 2026, up from $118.4 million in Q1 2026
• Net income rose to $10.1 million in Q2 2026, reflecting strong operational performance
• Return on equity stands at 18.6%, indicating effective use of shareholder funds

Financial Highlights

• Trailing twelve months (TTM) revenue of $474.5 million, showcasing consistent growth
• Net profit margin of 7.8% TTM, demonstrating effective cost management
• Price-to-earnings ratio of 5.81, suggesting potential undervaluation compared to industry peers

First Acceptance Corporation has established itself in the non-standard automobile insurance market, catering to a unique customer base. The company's recent financial performance indicates a positive trajectory, with significant revenue growth and improved profitability. The increase in net income and return on equity highlights the effectiveness of its operational strategies. With a competitive price-to-earnings ratio, First Acceptance may present an attractive opportunity for investors looking for value in the insurance sector. The company's diverse product offerings further enhance its market position, making it a noteworthy consideration for potential investment.