Bright Horizons Family Solutions Inc. (NYSE:BFAM) has received a consensus rating of “Moderate Buy” from nine research firms currently covering the stock. According to MarketBeat, one analyst rated the stock as a sell, three issued hold ratings, while four analysts assigned buy ratings, and one categorized it as a strong buy. The average price target set by brokerages over the last year stands at approximately $128.71.
Several investment firms have recently adjusted their price targets for Bright Horizons. On October 24, Morgan Stanley reduced its price objective from $104.00 to $96.00, giving the company an “underweight” rating. Conversely, JPMorgan Chase & Co. raised its target from $156.00 to $160.00, categorizing the stock as “overweight.” UBS Group also increased its target price from $112.00 to $120.00 while maintaining a “neutral” stance. Weiss Ratings reaffirmed a “hold (C+)” rating on October 8, and Robert W. Baird set a target price of $136.00.
Recent Financial Performance
Bright Horizons recently reported its quarterly earnings on October 30, 2023. The company announced earnings of $1.57 per share, surpassing analysts’ expectations of $1.32 by $0.25. The business generated $802.81 million in revenue for the quarter, exceeding the consensus estimate of $781.16 million. This represents an 11.6% increase in revenue compared to the same quarter last year, during which it reported earnings of $1.11 per share. For fiscal year 2025, Bright Horizons has set its earnings per share guidance between $4.48 and $4.53. Analysts predict that the company will report $3.61 earnings per share for the current year.
Insider trading activity has also been noted. Chief Operating Officer Mary Lou Burke sold 1,000 shares of the company’s stock on October 1 at an average price of $108.52, totaling $108,520.00. Following this transaction, Burke owns 26,449 shares, valued at approximately $2.87 million, marking a 3.64% decrease in her ownership. Additionally, Director Mary Ann Tocio sold 3,000 shares on August 5 at an average price of $120.10, amounting to $360,300.00. This sale reduced her position by 14.13%.
Institutional Investments
Recent movements among institutional investors indicate a shift in holdings for Bright Horizons. GAMMA Investing LLC increased its stake in the company by 72.7% during the first quarter, now owning 475 shares valued at $60,000. DAVENPORT & Co LLC also raised its stake by 20.1%, owning 2,351 shares worth $299,000 after acquiring an additional 394 shares.
Other notable transactions include First Bank & Trust and OneDigital Investment Advisors LLC, which both acquired new positions valued at approximately $207,000 and $295,000, respectively. Additionally, Impax Asset Management Group plc increased its stake by 13.8%, now holding 29,044 shares worth $3.69 million.
Bright Horizons Family Solutions Inc. provides early education and childcare services, along with back-up care and educational advisory solutions for families and employers in various locations, including the United States, Puerto Rico, the United Kingdom, the Netherlands, Australia, and India. The company operates in three segments: Full Service Center-Based Child Care, Back-Up Care, and Educational Advisory and Other Services.
