Fidelity National Financial, Inc.

Company Description

Fidelity National Financial, Inc. through its subsidiaries, provides title insurance, specialty insurance, claims management and information services in the United States. The company has a market cap of $4.21 billion.

In spite of the fact the Fidelity National has suffered from the decline in the housing market, the company's fourth-quarter results demonstrate that it is rebounding from its calamities.

Revenue was down 21% to $1.02 billion, but income jumped higher to a loss of $1.7 million from a loss of $44.9 million last year. Earnings came in at one penny, 3 cents ahead of the consensus estimate of a loss of 2 cents.

Strategic Acquisition

Fidelity National acquired divisions of LandAmerica Financial Group's, a company that filed for bankruptcy protection in November, for $298 million in a deal that closed in December. Fidelity National has since slashed 1,500 jobs and closed 125 offices in order to cut costs.

Estimates Jump

After the solid quarter, analysts went ahead and boosted their estimates, with the current-year jumping a big 40 cents to $1.44 per share. The next-year estimate is pegged at $1.64, a 14% earnings growth projection.

The Chart

Shares of FNF have been rallying since bottoming out in late November at $6.75. Since then, this stock has crossed the $20 mark, currently pressuring this area as some short-term resistance has developed. Take a look below.