ASPS vs FAF

For growth investors, First American Financial Corporation (FAF) is the stronger pick with 21.

6% revenue growth year-over-year, versus 6. 8% for Altisource Portfolio Solutions S. A. (ASPS). First American Financial Corporation (FAF) offers the better valuation at 11. 6x trailing P/E (10. 9x forward), making it the more compelling value choice. Analysts rate First American Financial Corporation (FAF) a "Buy" — based on 15 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, First American Financial Corporation (FAF) is the cheapest at 11.

6x versus Altisource Portfolio Solutions S. A. at 45. 3x.

Over the past 5 years, First American Financial Corporation (FAF) delivered a total return of +20.

7%, compared to -87. 3% for Altisource Portfolio Solutions S. A. (ASPS). Over 10 years, the gap is even starker: FAF returned +138. 4% versus ASPS's -97. 2%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Altisource Portfolio Solutions S.

A. (ASPS) is the lower-risk stock at -0. 33β versus First American Financial Corporation's 0. 59β — meaning FAF is approximately -278% more volatile than ASPS relative to the S&P 500.

By revenue growth (latest reported year), First American Financial Corporation (FAF) is pulling ahead at 21.

6% versus 6. 8% for Altisource Portfolio Solutions S. A. (ASPS). On earnings-per-share growth, the picture is similar: First American Financial Corporation grew EPS 376. 2% year-over-year, compared to 112. 0% for Altisource Portfolio Solutions S. A.. Over a 3-year CAGR, ASPS leads at 3. 7% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

First American Financial Corporation (FAF) is the more profitable company, earning 8.

4% net margin versus 0. 9% for Altisource Portfolio Solutions S. A. — meaning it keeps 8. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: FAF leads at 11. 1% versus 4. 6% for ASPS. At the gross margin level — before operating expenses — FAF leads at 95. 6%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

In this comparison, FAF (3.

1% yield) pays a dividend. ASPS does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Altisource Portfolio Solutions S.

A. (ASPS) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β -0. 33)). Both have compounded well over 10 years (ASPS: -97. 2%, FAF: +138. 4%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (ASPS (Real Estate) and FAF (Financial Services)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: ASPS is a small-cap quality compounder stock; FAF is a small-cap high-growth stock. FAF pays a dividend while ASPS does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.