Bank of America Forecasts Strong Price Appreciation for BrightSpring Health Services (NASDAQ:BTSG) Stock

Key Points

• Bank of America has raised its target price for BrightSpring Health Services from $27.50 to $31.00, predicting an 11.49% upside from the current price and maintaining a "buy" rating.
• The company's stock recently saw a 6.0% increase, reaching $27.80 with over 2 million shares traded on that day.
• BrightSpring Health Services reported revenue of $3.15 billion for the last quarter, surpassing analyst estimates and showing a 15.3% increase compared to the previous year.

BrightSpring Health Services (NASDAQ:BTSG - Get Free Report) had its price target hoisted by stock analysts at Bank of America from $27.50 to $31.00 in a report released on Wednesday,Benzinga reports. The firm presently has a "buy" rating on the stock. Bank of America's price objective would suggest a potential upside of 15.76% from the stock's current price.

Several other brokerages have also recently issued reports on BTSG. Wells Fargo & Company boosted their price target on shares of BrightSpring Health Services from $25.00 to $27.00 and gave the company an "overweight" rating in a research report on Tuesday, May 13th. TD Cowen assumed coverage on shares of BrightSpring Health Services in a research note on Monday, June 23rd. They set a "buy" rating and a $37.00 price objective on the stock. Deutsche Bank Aktiengesellschaft set a $30.00 price objective on shares of BrightSpring Health Services and gave the stock a "buy" rating in a research note on Monday, September 8th. Cowen reissued a "buy" rating on shares of BrightSpring Health Services in a research note on Monday, August 4th. Finally, Wall Street Zen lowered shares of BrightSpring Health Services from a "strong-buy" rating to a "buy" rating in a research note on Saturday, July 26th. Eleven investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat.com, BrightSpring Health Services currently has an average rating of "Moderate Buy" and an average target price of $27.10.

BrightSpring Health Services Trading Up 1.2%

Shares of NASDAQ BTSG traded up $0.33 during midday trading on Wednesday, hitting $26.78. 1,391,261 shares of the company traded hands, compared to its average volume of 2,138,776. BrightSpring Health Services has a 12-month low of $13.90 and a 12-month high of $28.43. The company has a debt-to-equity ratio of 1.43, a quick ratio of 1.34 and a current ratio of 1.76. The stock has a 50-day moving average price of $22.28 and a 200 day moving average price of $20.89. The firm has a market cap of $4.74 billion, a P/E ratio of 86.42, a P/E/G ratio of 0.44 and a beta of 2.26.

BrightSpring Health Services (NASDAQ:BTSG - Get Free Report) last announced its quarterly earnings results on Friday, August 1st. The company reported $0.22 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.19 by $0.03. BrightSpring Health Services had a net margin of 0.55% and a return on equity of 9.29%. The company had revenue of $3.15 billion for the quarter, compared to analysts' expectations of $2.99 billion. During the same quarter in the previous year, the company earned $0.10 earnings per share. BrightSpring Health Services's quarterly revenue was up 15.3% on a year-over-year basis. BrightSpring Health Services has set its FY 2025 guidance at EPS. As a group, analysts expect that BrightSpring Health Services will post 0.59 earnings per share for the current year.

Insider Activity

In other news, major shareholder Phoenix Aggregator L.P. Kkr sold 2,100,000 shares of the stock in a transaction on Tuesday, June 24th. The shares were sold at an average price of $21.15, for a total value of $44,415,000.00. Following the completion of the sale, the insider directly owned 77,096,337 shares of the company's stock, valued at $1,630,587,527.55. This represents a 2.65% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 3.40% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On BrightSpring Health Services

Hedge funds and other institutional investors have recently modified their holdings of the stock. GAMMA Investing LLC boosted its position in shares of BrightSpring Health Services by 2,526.5% during the first quarter. GAMMA Investing LLC now owns 14,472 shares of the company's stock worth $262,000 after acquiring an additional 13,921 shares during the last quarter. Northern Trust Corp boosted its position in shares of BrightSpring Health Services by 5.8% during the first quarter. Northern Trust Corp now owns 566,623 shares of the company's stock worth $10,250,000 after acquiring an additional 31,289 shares during the last quarter. New York State Common Retirement Fund lifted its position in BrightSpring Health Services by 131.8% during the first quarter. New York State Common Retirement Fund now owns 37,918 shares of the company's stock valued at $686,000 after purchasing an additional 21,563 shares during the last quarter. Teacher Retirement System of Texas lifted its position in BrightSpring Health Services by 6.8% during the first quarter. Teacher Retirement System of Texas now owns 14,650 shares of the company's stock valued at $265,000 after purchasing an additional 932 shares during the last quarter. Finally, Adage Capital Partners GP L.L.C. lifted its position in BrightSpring Health Services by 145.1% during the first quarter. Adage Capital Partners GP L.L.C. now owns 939,529 shares of the company's stock valued at $16,996,000 after purchasing an additional 556,152 shares during the last quarter.

About BrightSpring Health Services

BrightSpring Health Services, Inc operates a home and community-based healthcare services platform in the United States. The company's platform focuses on delivering pharmacy and provider services, including clinical and supportive care in home and community settings to Medicare, Medicaid, and insured populations.