BrightSpring Health Services Inc. (NASDAQ:BTSG) is one of the best young stocks to buy and hold for 3 years. On January 9, Mizuho analyst Ann Hynes raised the firm’s price target on BrightSpring Health to $45 from $42, while keeping an Outperform rating on the shares. As part of its Q4 2o25 preview, Mizuho revised targets for healthcare facilities and managed care after a physician survey revealed a sequential slowdown in utilization growth. The firm noted that because this deceleration occurred despite fa ...

Key Takeaways Here's how to find the best top-ranked value stocks to buy in 2026.Healthcare stock BTSG soared 230% since its 2024 IPO. Yet it's a great value stock with big growth potential.No matter what happens in the next few weeks, the bull case for Wall Street remains intact for 2026. Investors should be optimistic heading into next year because earnings are projected to grow significantly, and the Fed is expected to keep lowering interest rates.That said, some investors might not want to chase technol ...

Core Insights - The article emphasizes the importance of confirming the sustainability of stock trends for profitable short-term investing [1][2] Group 1: Stock Performance - BrightSpring Health Services, Inc. (BTSG) has shown a solid price increase of 33.8% over the past 12 weeks, indicating strong investor interest [4] - BTSG has also maintained a price increase of 14.2% over the last four weeks, suggesting that the upward trend is still intact [5] - The stock is currently trading at 97% of its 52-week high-low range, indicating a potential breakout [5] Group 2: Fundamental Strength - BTSG holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises [6] - The stock has an Average Broker Recommendation of 1 (Strong Buy), reflecting high optimism from the brokerage community regarding its near-term price performance [7] Group 3: Investment Strategy - The "Recent Price Strength" screen is a useful tool for identifying stocks like BTSG that are on an uptrend supported by strong fundamentals [3] - The article suggests that there are several other stocks passing through the "Recent Price Strength" screen that may also be worth considering for investment [8]

Core Insights - The fifth annual Home Care Conference is being hosted by BofA Securities, featuring BrightSpring, a major player in the U.S. home care industry [2]. Group 1 - BrightSpring is recognized as one of the largest diversified home care providers in the United States [2]. - The session includes key executives from BrightSpring, specifically Jon Rousseau, the President and CEO, and Jen Phipps, the CFO [2].

Group 1 - Israel's stock market has outperformed the U.S. market since October 7, 2023, with significant gains in U.S.-traded companies such as Teva Pharmaceutical, Elbit Systems, and Tower Semiconductor [5] - BrightSpring Health Services, a recent IPO, has pulled back from record highs but remains in a buy zone, making it a stock to watch according to Investor's Business Daily [6][10] - BrightSpring Health Services has seen its relative strength rating jump to 81, indicating strong performance among stocks [10] Group 2 - The health care sector is attracting attention, with BrightSpring Health leading in potential triple-digit profit growth [10] - The market is currently volatile, with Russell 2000 showing significant movement, and key stocks like AbbVie and BrightSpring being highlighted for their performance [6]

Core Insights - BrightSpring Health Services Inc. (NASDAQ:BTSG) is recognized as a promising investment opportunity, with BMO Capital initiating coverage with an Outperform rating and a price target of $40 [1] - The company is projected to achieve over 12% EBITDA growth over the next three years, driven by securing additional limited distribution drug contracts and an increase in generic drug conversions [1] Financial Performance - In Q3 2025, BrightSpring Health reported total revenue of $3.3 billion, reflecting a 28% year-over-year increase [2] - Adjusted EBITDA for the same period grew by 37%, reaching $160 million, resulting in an EBITDA margin of 4.8%, which is an increase of 0.3% from the previous year and quarter [2] - The company has raised its full-year 2025 Adjusted EBITDA guidance to a range of $605 to $615 million, indicating a growth of 31.5% to 33.7% compared to full year 2024 [3] - Total revenue for 2025 is expected to be between $12.5 billion and $12.8 billion [3] Business Segments - BrightSpring Health operates as a home and community-based healthcare services platform in the US, with key segments including Pharmacy Solutions and Provider Services [3]

Core Viewpoint - BrightSpring Health Services, Inc. (BTSG) shows potential as a strong investment opportunity due to significant upward revisions in earnings estimates, indicating a positive earnings outlook and potential for continued stock price growth [1][2]. Earnings Estimate Revisions - Analysts have become increasingly optimistic about the earnings prospects of BrightSpring Health Services, leading to higher earnings estimates, which are expected to positively influence the stock price [2]. - The Zacks Rank system, which assesses stocks from 1 (Strong Buy) to 5 (Strong Sell), has shown that stocks with a Zacks Rank 1 have historically outperformed, with an average annual return of +25% since 2008 [3]. - For the current quarter, the earnings estimate is $0.34 per share, reflecting a +54.6% increase from the previous year, with a 22.89% rise in consensus estimates over the last 30 days [5]. - For the full year, the expected earnings are $1.12 per share, representing a year-over-year increase of +100.0% [6]. Analyst Consensus and Trends - There has been a positive trend in estimate revisions, with two upward revisions and no negative changes in the past month, resulting in a 22.26% increase in the consensus estimate for the current year [7]. - The favorable estimate revisions have contributed to BrightSpring Health Services earning a Zacks Rank 1 (Strong Buy), indicating strong potential for outperformance compared to the S&P 500 [8]. Stock Performance - BrightSpring Health Services shares have increased by 6.5% over the past four weeks, suggesting investor confidence in the company's earnings growth prospects [9].

Core Viewpoint - BrightSpring Health Services, Inc. (BTSG) has shown strong stock performance, with a 106.9% increase since the beginning of the year, significantly outperforming the Zacks Medical sector and the Zacks Medical Services industry [1][2]. Financial Performance - The company has consistently exceeded earnings expectations, reporting an EPS of $0.3 against a consensus estimate of $0.27 in its last earnings report [2]. - For the current fiscal year, BTSG is projected to achieve earnings of $1.12 per share on revenues of $12.71 billion, reflecting a 100% increase in EPS and a 12.82% increase in revenues [3]. - The next fiscal year forecasts earnings of $1.45 per share on revenues of $14.57 billion, indicating year-over-year growth of 29.36% in EPS and 14.65% in revenues [3]. Valuation Metrics - BTSG currently trades at a valuation of 31.6X current fiscal year EPS estimates, which is above the peer industry average of 16X [7]. - On a trailing cash flow basis, the stock trades at 18.8X compared to the peer group's average of 10.1X, with a PEG ratio of 0.59 [7]. - The stock has a Value Score of B, a Growth Score of A, and a Momentum Score of F, resulting in a combined VGM Score of A [6]. Zacks Rank - BTSG holds a Zacks Rank of 2 (Buy), supported by rising earnings estimates [8]. - The company meets the criteria for selection based on Zacks Rank and Style Scores, suggesting potential for further stock price appreciation [9]. Industry Comparison - In comparison to industry peers, Sotera Health Company (SHC) also shows promise with a Zacks Rank of 2 (Buy) and a strong earnings performance, having beaten consensus estimates by 18.18% [10][11]. - The Medical Services industry, while ranking in the bottom 59% of all industries, still presents favorable conditions for both BTSG and SHC [12].

Core Insights - BrightSpring Health Services, Inc. (BTSG) is currently rated as a Strong Buy (1) by Zacks, while Medpace (MEDP) holds a Buy (2) rating, indicating a more favorable outlook for BTSG in terms of earnings revisions [3]. Valuation Metrics - BTSG has a forward P/E ratio of 30.98, significantly lower than MEDP's forward P/E of 40.02, suggesting that BTSG may be undervalued relative to MEDP [5]. - The PEG ratio for BTSG is 0.58, indicating a more attractive valuation when considering expected EPS growth, compared to MEDP's PEG ratio of 2.22 [5]. - BTSG's P/B ratio stands at 3.43, while MEDP's P/B ratio is considerably higher at 56.77, further supporting the notion that BTSG is a better value option [6]. Value Grades - Based on the analysis of various valuation metrics, BTSG has received a Value grade of B, whereas MEDP has a Value grade of D, highlighting BTSG's superior position in terms of value investment potential [6].

Core Insights - BrightSpring Health Services, Inc. (NASDAQ:BTSG) is highlighted as a top digital health stock following a strong Q3 performance, with UBS analyst A.J. Rice reiterating a Buy rating and raising the 12-month price target to $42 from $35, driven by management's confidence and growth momentum in specialty and infusion services [1][3]. Financial Performance - For Q3, BrightSpring reported revenue of $3.334 billion, reflecting a year-over-year increase of 28.2%, adjusted EBITDA of $160 million, up 37.2% YoY, and a net income of $37.5 million compared to a loss in the previous year [2][3]. - The Pharmacy Solutions segment experienced significant growth, increasing approximately 31% to $2.97 billion, while Provider Services rose about 9% to $367 million [3]. Future Guidance - Management has raised the full-year 2025 revenue guidance to a range of $12.4 billion to $12.7 billion, while maintaining adjusted EBITDA guidance at $605 million to $615 million, indicating continued strength in specialty volume and execution on the pharmacy platform [3]. Company Overview - BrightSpring Health Services operates in the post-acute care sector, providing home and community-based clinical services and pharmacy solutions across the United States, catering to medically complex and aging populations through in-home care, behavioral health support, and medication management [4].