Bright Horizons Family Solutions (NYSE:BFAM) Shares Gap Down – What’s Next?

Bright Horizons Family Solutions Inc. (NYSE:BFAM) gapped down prior to trading on Friday . The stock had previously closed at $81.83, but opened at $74.32. Bright Horizons Family Solutions shares last traded at $67.3940, with a volume of 810,887 shares changing hands.

More Bright Horizons Family Solutions News

Here are the key news stories impacting Bright Horizons Family Solutions this week:

• Positive Sentiment: Q4 results slightly beat expectations: GAAP EPS $1.15 vs. consensus ~$1.13 and revenue $733.7M vs. ~$727M; revenue was up ~9.2% year?over?year — the beat shows continued top?line momentum. Bright Horizons Beats Q4 Earnings and Revenue Estimates
• Positive Sentiment: FY?2026 guidance: management is targeting roughly $3.1B in revenue and $4.90–$5.10 in EPS, giving investors forward revenue and profit targets to model against. Bright Horizons targets $3.1B revenue and $5-10 EPS for 2026
• Neutral Sentiment: Guidance is roughly in line with Street consensus (consensus EPS ~4.92), so while not a positive surprise it gives clarity; investors will watch execution against that midpoint. Q4 2025 Earnings Call Transcript
• Negative Sentiment: Shares fell to a 52?week low on the print — headlines and selling pressure amplified the move despite the modest beat, suggesting the market focused on signs of slowing momentum or mixed details in the call. Bright Horizons Shares Drop to 52-Week Low After 4Q Earnings Decline
• Negative Sentiment: Management noted portfolio rationalization steps (asset/portfolio changes) that may create near?term execution risk and one?time costs, adding uncertainty about margin trajectory. Portfolio rationalization coverage
• Negative Sentiment: Investor/legal risk: a shareholder law?firm notice (Scott+Scott) is investigating directors and officers for potential breaches, which can be an overhang until resolved. Investor Alert: Scott+Scott Investigates Bright Horizons

Analyst Ratings Changes

A number of brokerages recently weighed in on BFAM. Robert W. Baird set a $100.00 price objective on shares of Bright Horizons Family Solutions in a report on Friday. JPMorgan Chase & Co. boosted their price target on shares of Bright Horizons Family Solutions from $156.00 to $160.00 and gave the stock an “overweight” rating in a research note on Friday, October 31st. Deutsche Bank Aktiengesellschaft set a $99.00 price objective on Bright Horizons Family Solutions and gave the company a “hold” rating in a research note on Friday. UBS Group set a $93.00 target price on Bright Horizons Family Solutions in a research note on Friday. Finally, BMO Capital Markets restated an “outperform” rating and set a $124.00 price target on shares of Bright Horizons Family Solutions in a report on Friday, October 31st. Three research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $111.63.

Bright Horizons Family Solutions Stock Down 20.0%

The firm has a 50-day moving average price of $96.75 and a two-hundred day moving average price of $104.23. The firm has a market cap of $3.70 billion, a price-to-earnings ratio of 18.82, a price-to-earnings-growth ratio of 0.99 and a beta of 1.40. The company has a debt-to-equity ratio of 0.52, a quick ratio of 0.54 and a current ratio of 0.54.

Bright Horizons Family Solutions (NYSE:BFAM) last announced its quarterly earnings results on Thursday, February 12th. The company reported $1.15 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.13 by $0.02. Bright Horizons Family Solutions had a return on equity of 17.07% and a net margin of 6.98%.The firm had revenue of $733.70 million during the quarter, compared to the consensus estimate of $727.44 million. During the same period in the prior year, the company posted $0.98 earnings per share. The firm’s quarterly revenue was up 9.2% compared to the same quarter last year. Bright Horizons Family Solutions has set its FY 2026 guidance at 4.900-5.100 EPS. On average, sell-side analysts forecast that Bright Horizons Family Solutions Inc. will post 3.61 earnings per share for the current year.

Hedge Funds Weigh In On Bright Horizons Family Solutions

Hedge funds have recently made changes to their positions in the company. Universal Beteiligungs und Servicegesellschaft mbH boosted its holdings in shares of Bright Horizons Family Solutions by 24.5% in the third quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 56,252 shares of the company’s stock valued at $6,107,000 after acquiring an additional 11,085 shares during the period. Y Intercept Hong Kong Ltd purchased a new stake in Bright Horizons Family Solutions in the 3rd quarter valued at $2,768,000. Conestoga Capital Advisors LLC boosted its stake in Bright Horizons Family Solutions by 2.6% during the 3rd quarter. Conestoga Capital Advisors LLC now owns 880,580 shares of the company’s stock worth $95,605,000 after purchasing an additional 22,570 shares during the period. Assenagon Asset Management S.A. grew its position in Bright Horizons Family Solutions by 503.8% during the 3rd quarter. Assenagon Asset Management S.A. now owns 159,540 shares of the company’s stock worth $17,321,000 after purchasing an additional 133,119 shares during the last quarter. Finally, CWM LLC increased its stake in Bright Horizons Family Solutions by 86.5% in the third quarter. CWM LLC now owns 33,131 shares of the company’s stock valued at $3,597,000 after purchasing an additional 15,368 shares during the period.

About Bright Horizons Family Solutions

Bright Horizons Family Solutions, Inc (NYSE: BFAM) is a leading provider of employer-sponsored child care and early education services, offering a range of solutions designed to support working families and organizations. Through a network of on-site, near-site and center-based programs, the company partners with corporate and nonprofit clients to deliver infant, toddler, preschool and school-age care. Services emphasize age-appropriate curriculum, developmental milestones and community engagement to ensure high-quality learning experiences.