Background screening provider First Advantage (NASDAQ: FA) will be reporting results this Thursday before market hours. Here’s what to expect.
First Advantage beat analysts’ revenue expectations by 2.7% last quarter, reporting revenues of $390.6 million, up 112% year on year. It was a very strong quarter for the company, with a beat of analysts’ EPS estimates and a solid beat of analysts’ revenue estimates.
Is First Advantage a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting First Advantage’s revenue to grow 102% year on year to $402.6 million, improving from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $0.28 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. First Advantage has missed Wall Street’s revenue estimates three times over the last two years.
Looking at First Advantage’s peers in the professional staffing & hr solutions segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Kforce’s revenues decreased 5.9% year on year, beating analysts’ expectations by 1.5%, and ManpowerGroup reported revenues up 2.3%, topping estimates by 0.7%. Kforce traded up 29% following the results while ManpowerGroup was down 11.4%.
Read our full analysis of Kforce’s results here and ManpowerGroup’s results here.
The euphoria surrounding Trump’s November win lit a fire under major indices, but potential tariffs have caused the market to do a 180 in 2025. While some of the professional staffing & hr solutions stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 5.4% on average over the last month. First Advantage is down 18.3% during the same time and is heading into earnings with an average analyst price target of $18.71 (compared to the current share price of $12.85).
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