BrightSpring Health Services (NASDAQ:BTSG) Releases Earnings Results, Misses Expectations By $0.01 EPS

BrightSpring Health Services (NASDAQ:BTSG) released its quarterly earnings data on Friday. The company reported $0.33 EPS for the quarter, missing the consensus estimate of $0.34 by ($0.01), FiscalAI reports. BrightSpring Health Services had a return on equity of 11.61% and a net margin of 1.04%.The business had revenue of $3.55 billion during the quarter, compared to the consensus estimate of $3.38 billion. During the same period last year, the business posted $0.11 earnings per share. The firm’s quarterly revenue was up 29.3% on a year-over-year basis.

Here are the key takeaways from BrightSpring Health Services’ conference call:

• BrightSpring delivered strong 2025 results with $12.9 billion revenue (up ~28% YoY) and $618 million adjusted EBITDA (up ~34% YoY), and issued 2026 guidance of $14.45–$15.0 billion revenue and $760–$790 million adjusted EBITDA (midpoint ≈ +25% YoY).
• The FTC‑approved divestiture of the community living business is expected to close by end of Q1, providing ~$715 million net proceeds that the company intends to use primarily to pay down debt and strengthen the balance sheet.
• BrightSpring closed the acquisition of 107 Amedisys/LHC home‑health branches for $239 million (cash) in Q4; the assets had pro forma 2025 revenue of ~$345 million and are expected to contribute ~$30 million to 2026 adjusted EBITDA, with integration and margin improvement targeted over time.
• Pharmacy growth is strong (specialty/infusion up sharply and a 149‑LDD portfolio with 16–20 launches planned), but management flagged ~$600 million of 2026 revenue headwinds from IRA changes, brand→generic conversions and customer bankruptcies — a near‑term revenue risk even if some conversions boost margins.
• Operating cash flow improved to $490 million in 2025, net debt was ~$2.5 billion at year‑end, leverage fell to 2.99x (2.6x pro forma for the divestiture) and management targets ~2.5x leverage by mid‑year, increasing capital flexibility.

BrightSpring Health Services Trading Up 3.2%

Shares of NASDAQ BTSG traded up $1.30 during midday trading on Friday, reaching $41.43. The company had a trading volume of 6,195,393 shares, compared to its average volume of 1,722,900. The stock has a market cap of $7.47 billion, a PE ratio of 67.92, a price-to-earnings-growth ratio of 0.55 and a beta of 2.36. BrightSpring Health Services has a one year low of $15.48 and a one year high of $44.87. The firm’s fifty day moving average price is $39.05 and its 200-day moving average price is $33.10. The company has a quick ratio of 1.38, a current ratio of 1.79 and a debt-to-equity ratio of 1.36.

Institutional Trading of BrightSpring Health Services

Hedge funds and other institutional investors have recently bought and sold shares of the stock. T. Rowe Price Investment Management Inc. grew its holdings in shares of BrightSpring Health Services by 21.7% in the fourth quarter. T. Rowe Price Investment Management Inc. now owns 6,123,865 shares of the company’s stock worth $229,339,000 after purchasing an additional 1,091,757 shares during the last quarter. Invesco Ltd. raised its holdings in BrightSpring Health Services by 13.4% during the 4th quarter. Invesco Ltd. now owns 10,595,232 shares of the company’s stock valued at $396,791,000 after buying an additional 1,248,107 shares during the last quarter. Virtue Capital Management LLC boosted its position in BrightSpring Health Services by 45.9% during the 4th quarter. Virtue Capital Management LLC now owns 32,984 shares of the company’s stock valued at $1,267,000 after buying an additional 10,371 shares during the period. State of Tennessee Department of Treasury bought a new stake in BrightSpring Health Services in the 4th quarter worth $1,915,000. Finally, Mackenzie Financial Corp bought a new stake in BrightSpring Health Services in the 4th quarter worth $252,000.

Analysts Set New Price Targets

A number of analysts recently issued reports on the company. Zacks Research lowered BrightSpring Health Services from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, January 6th. Wells Fargo & Company upped their price target on BrightSpring Health Services from $39.00 to $43.00 and gave the company an “overweight” rating in a research report on Wednesday, January 7th. BMO Capital Markets reissued an “outperform” rating and issued a $46.00 price target on shares of BrightSpring Health Services in a report on Friday, January 23rd. BTIG Research boosted their price objective on shares of BrightSpring Health Services from $50.00 to $55.00 and gave the company a “buy” rating in a research note on Monday, February 2nd. Finally, TD Cowen reiterated a “buy” rating on shares of BrightSpring Health Services in a research note on Tuesday, January 27th. One analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $41.33.

About BrightSpring Health Services

BrightSpring Health Services (NASDAQ: BTSG) is a leading provider of home and community-based care and workforce solutions aimed at seniors, individuals with disabilities and those facing behavioral health challenges. The company’s operations encompass a broad spectrum of services, including personal care, skilled nursing, therapy, habilitation and supported living, as well as specialized behavioral health programs delivered through both clinical and non-clinical channels.

Through its network of subsidiary brands, BrightSpring offers integrated care in the patient’s home environment, fostering independence and improving quality of life.