INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of Upstart Holdings, Inc. - UPST [Accessibility Statement] Skip NavigationNEW YORK, Feb. 26, 2026 /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of Upstart Holdings, Inc. ("Upstart" or the "Company") (NASDAQ: UPST). Such investors are advised to contact Danielle Peyton at [[email protected]] or 646-581-9980, ext. 7980.The investigation concerns whether Upstart and certain of its officers and/or direct ...

Bright Horizons Family Solutions Inc. (NYSE:BFAM) is among the 12 Best Consumer Stocks to Buy According to Wall Street. Bright Horizons Family Solutions Inc. (BFAM) Reports Fourth-Quarter Revenue of $734 Million, Ahead of Consensus On February 12, 2026, Bright Horizons Family Solutions Inc. (NYSE:BFAM) reported fourth-quarter revenue of $734 million, ahead of the consensus estimate of $727.44 million. CEO Stephen Kramer said the company’s diversified and integrated education and care solutions, supported ...

Core Insights - Bright Horizons Family Solutions reported a 9% year-over-year revenue growth in Q4 2025, reaching $733.7 million, while net income decreased by 25% to $22 million due to operational challenges [1][18][20]. Financial Performance - Q4 2025 revenue was $733.7 million, a 9% increase from Q4 2024, driven by higher utilization of back-up care services and increased enrollment in child care centers [15][20]. - For the full year 2025, total revenue reached $2.93 billion, also reflecting a 9% increase, with net income growing by 38% to $193 million [20][22]. - Adjusted EBITDA for 2025 was $487 million, a 19% increase year-over-year, indicating strong operational performance despite challenges [23]. Business Segments - The company operates three main business segments: full-time services, back-up care services, and educational consulting. Full-time services remain the core revenue driver, while back-up care services are identified as a new growth area [5][12]. - Back-up care services saw a 17% revenue increase in Q4 2025, totaling $183 million, and a 19% increase for the full year, reaching $728 million [12][20]. - Educational consulting services grew by 10% in Q4 2025 to $36 million, with a full-year revenue of $125 million, benefiting from increased demand for college consulting services [14][20]. Strategic Initiatives - The company plans to close over 45 underperforming centers in 2026 as part of a strategy to enhance operational efficiency, which is expected to improve profit margins by 25-50 basis points [6][9]. - Bright Horizons aims to expand its back-up care services, which currently have a penetration rate of less than 10% among existing clients, indicating significant growth potential [13]. Market Position - Bright Horizons has established itself as a provider of employer-sponsored family benefits, serving over 1,450 employers globally and operating more than 1,010 early education and child care centers [2][4]. - The company emphasizes the importance of its services in supporting employee productivity and retention, which is increasingly recognized by employers [12][13].

Core Insights - Bright Horizons Family Solutions reported strong financial performance for 2025, with a notable growth in Back-Up Care revenue and overall revenue increase [5][7][21] Financial Performance - For 2025, Bright Horizons achieved total revenue of $2.93 billion, reflecting a 9% year-over-year increase, and adjusted EPS of $4.55, a 31% increase [3][7] - In Q4, revenue rose 9% year-over-year to $734 million, with adjusted EPS increasing 17% to $1.15, both exceeding management's expectations [4][7] - The Back-Up Care segment saw revenue growth of 19% to $728 million for the year, with Q4 revenue rising 17% to $183 million [1][2][7] Segment Performance - Back-Up Care continued to be a key growth driver, supported by increased utilization across various programs [2][5] - Full Service revenue increased 6% to $515 million in Q4, driven by tuition increases and modest enrollment gains, but faced headwinds from center closures [10][21] - Educational Advisory revenue rose 10% to $36 million in Q4, with a consistent operating margin of 30% [16] Future Guidance - For 2026, management guided revenue expectations of $3.075 billion to $3.125 billion, representing a growth of 5% to 6.5%, with adjusted EPS projected between $4.90 and $5.10 [6][17] - Back-Up Care is expected to grow by 11% to 13%, while Full Service is projected to grow by approximately 3.5% to 4.5% [6][21] - Management anticipates about 45 to 50 center closures in 2026, which may impact overall growth [14][19] Operational Insights - The company repurchased $225 million of shares in 2025, including approximately $120 million in Q4 [3][7] - Adjusted operating margins expanded by 200 basis points during 2025, with a Q4 adjusted operating margin of 12.3% [4][7] - Enrollment at centers open for more than one year rose about 1% in the quarter, with occupancy averaging in the mid-60% range [11][19]

Core Insights - The company reported a strong financial performance in Q4 2025, with revenue increasing by 9% to $734 million and adjusted EPS rising by 17% to $1.15, both exceeding expectations [4][12][13] - Backup Care revenue grew by 19% for the full year to $728 million, driven by solid demand and deeper penetration into existing client populations [2][3][11] - The company aims to continue expanding its services, particularly in Backup Care, with a focus on increasing user adoption and utilization among existing clients [5][10] Financial Performance - Q4 revenue reached $734 million, a 9% increase year-over-year, while full-year revenue totaled $2,930 million, up 9% from the previous year [4][11] - Adjusted operating income rose 14% to $91 million, with operating margins improving to 12.3% [13] - The company generated $351 million in cash from operations for the full year, with capital investments totaling $91 million [17] Segment Performance - Backup Care revenue increased by 17% in Q4 to $183 million, benefiting from both predictable care needs and unexpected disruptions [2][13] - Full Service revenue grew 6% in Q4 to $515 million, driven by tuition increases and modest enrollment growth [5][14] - Ed Advisory revenue rose 10% in Q4 to $36 million, with operating margins remaining consistent [8][16] Growth Opportunities - The company has less than 10% penetration within existing clients, indicating significant potential for further growth in active user adoption [5] - Plans to open approximately 20 new centers in 2026 while closing 45 to 50 underperforming centers [56] - The company expects Backup Care revenue to increase by 11% to 13% in 2026, driven by continued expansion of use [18][19] Market Position and Strategy - The company emphasizes the importance of employer partnerships and the value of Backup Care in enhancing employee productivity [37] - The UK Full Service business achieved positive operating profit for the year, marking a significant turnaround from previous losses [7] - The company aims to rationalize its portfolio by closing underperforming centers while focusing on areas with strong supply-demand dynamics [8][46]

Core Viewpoint - JPMorgan has identified 47 top stock picks for 2026, expecting them to outperform the market, with each stock receiving an overweight rating and a one-year price target for 2026 [1] Group 1: Stock Picks and Expected Returns - Most selected stocks are projected to achieve double-digit gains in 2026, with Bright Horizons Family Solutions, Celsius Holdings, and GE Vernova highlighted for their potential returns of 50% or more [2] - Bright Horizons Family Solutions (BFAM) is rated overweight with a price target of $160 per share, indicating a potential gain of approximately 60% from its current price of nearly $100 [3] - Celsius Holdings (CELH) has a target price of $68, reflecting a potential upside of 54%, despite a recent decline of 33% from its highs due to distribution transitions [7] - GE Vernova (GEV) has a price target of $1,000, suggesting a potential gain of 49%, driven by strong demand for gas turbines and grid solutions related to data center expansion [7] Group 2: Company Insights and Market Conditions - Bright Horizons is expected to benefit from increasing demand for childcare services as workforce participation rises, particularly among working parents, with stable revenue driven by employer partnerships [4] - Current analyst consensus for Bright Horizons is lower, around $128, due to concerns over near-term enrollment pressures and operational costs, despite the unemployment rate rising to 4.6%, the highest since 2021 [5] - JPMorgan's optimistic target for Bright Horizons assumes sustained margin improvement and revenue growth, but conflicting signals regarding labor trends and the economy necessitate monitoring of enrollment trends and labor costs [6]

Core Insights - Brown Brothers Harriman's Q3 2025 investor letter indicates that the BBH Select Series - Mid Cap Fund decreased by -0.9% on a total return basis, underperforming the Russell Midcap Index which returned 5.3% during the same period [1] - Year-to-date, the fund has a total return of -1.8%, significantly lower than the Index's 10.4% return [1] Group 1: Fund Performance - The third quarter saw a continuation of the low-quality rally that began late last year, gaining momentum throughout 2025 [1] - The fund's performance is highlighted by its exit from several positions, including Bright Horizons Family Solutions Inc. [3] Group 2: Bright Horizons Family Solutions Inc. - Bright Horizons Family Solutions Inc. has a market capitalization of $5.572 billion and provides early education and childcare services [2] - The stock experienced a one-month return of -2.21% and a 52-week loss of 11.10%, closing at $97.98 per share on December 10, 2025 [2] - The fund exited its position in Bright Horizons close to its intrinsic value following positive performance during the year [3] Group 3: Hedge Fund Interest - Bright Horizons Family Solutions Inc. is not among the 30 most popular stocks among hedge funds, with 34 hedge fund portfolios holding the stock at the end of Q3, unchanged from the previous quarter [4] - The potential of Bright Horizons is acknowledged, but the company is viewed as having less upside compared to certain AI stocks [4]

Core Viewpoint - The BBH Select Series - Mid Cap Fund experienced a decline in Q3 2025, underperforming the Russell Midcap Index, which indicates challenges in the mid-cap investment space during this period [1]. Fund Performance - The fund decreased by -0.9% on a total return basis in Q3 2025, while the Russell Midcap Index returned 5.3% [1]. - Year-to-date, the fund has a total return of -1.8%, compared to a 10.4% return for the Index [1]. - The third quarter saw a continuation of a low-quality rally that began late last year, gaining momentum throughout 2025 [1]. Company Focus: ITT Inc. - ITT Inc. (NYSE:ITT) was highlighted as a key stock in the fund's Q3 2025 investor letter [2]. - The one-month return for ITT Inc. was -6.97%, but it gained 12.95% over the last 52 weeks [2]. - As of December 10, 2025, ITT Inc. closed at $171.87 per share, with a market capitalization of $14.607 billion [2]. Investment Decisions - The fund initiated two new positions in Q3 2025: ITT Inc. and BJ's Wholesale Club Holdings Inc. [3]. - The fund exited positions in Globant, Bruker, and Bright Horizons Family Solutions Inc. during the same quarter [3].

Core Insights - U.S. stocks experienced an upward trend, with the Nasdaq Composite increasing by approximately 1% on Friday [1] - Cloudflare, Inc. reported better-than-expected third-quarter financial results, leading to a significant rise in its stock price [1][2] Company Performance - Cloudflare's quarterly earnings were 27 cents per share, surpassing the Street estimate of 23 cents [2] - The company's quarterly revenue reached $562.02 million, exceeding the analyst estimate of $544.82 million [2] - Following the earnings report, Cloudflare shares surged by 12.6% to $250.73 [2] Other Notable Stock Movements - AMTD Digital Inc. saw a remarkable 157% increase in its stock price to $4.34 after reporting a 1,085.9% year-over-year revenue increase to $73.2 million for the six months ending April 30 [4] - LexinFintech Holdings Ltd. gained 26% to $4.85, while Brighthouse Financial, Inc. rose 25.4% to $57.28 [4] - Illumina, Inc. surged 21% to $119.88 after reporting third-quarter results above estimates and raising its full-year guidance [4] - Reddit, Inc. shares increased by 17.8% to $229.10 after reporting better-than-expected third-quarter results and issuing optimistic fourth-quarter sales guidance [4] - Amazon.com, Inc. rose 11% to $247.26 following positive quarterly results [4]

Core Insights - Stride, Inc. (LRN) and Bright Horizons Family Solutions Inc. (BFAM) are pursuing distinct expansion strategies in the education sector, with Stride focusing on virtual K-12 education and Bright Horizons on childcare and family support services [1][2] Stride, Inc. (LRN) - Stride is experiencing significant growth in the school choice market, with Q4 fiscal 2025 revenues increasing by 22% year-over-year to $654 million, driven by enrollment growth in both General Education and Career Learning [4] - Career Learning enrollments rose by 33% year-over-year to over 96,000, while General Education enrollments increased by 13% to nearly 138,000, contributing to full-year revenues of $2.4 billion, an 18% increase year-over-year [4][8] - The company is heavily investing in technology to enhance student outcomes, expanding tutoring programs and focusing on responsible artificial intelligence to create engaging online learning experiences [5] - Despite growth, Stride's adult learning business faced challenges, particularly in technology-related programs, and the company anticipates moderated margin expansion in fiscal 2026 due to new investments [6] - The outlook for fiscal 2026 is positive, with projected enrollment growth of 10-15% in Q1, supported by strong application volumes and favorable funding conditions [7] Bright Horizons Family Solutions Inc. (BFAM) - Bright Horizons reported a 9% year-over-year revenue growth to $732 million in Q2 2025, driven by steady enrollment gains and tuition increases [8] - Full-service childcare accounted for the majority of revenues, growing by 7%, while backup care and educational advisory services increased by 19% and 8%, respectively [8][9] - The company is expanding its network by opening new centers and strengthening employer partnerships, which enhances client engagement and deepens its market position [10] - However, Bright Horizons faces challenges with occupancy rates in childcare centers, which remain below pre-pandemic levels, impacting overall utilization [11] - The company raised its full-year revenue guidance to $2.9-$2.92 billion, reflecting an expected 8-9% year-over-year growth, with continued strength anticipated in backup care services [12] Stock Performance & Valuation - Year-to-date, Stride's share price performance has outpaced that of Bright Horizons [13] - Stride is currently trading at a premium compared to Bright Horizons based on a forward 12-month price-to-sales ratio [15] - Stride's trailing 12-month return on equity (ROE) stands at 25.5%, significantly higher than Bright Horizons' 16.9%, indicating stronger efficiency in generating shareholder returns [20] Investment Outlook - Stride is positioned as a growth leader in the education sector, supported by strong enrollment momentum and a favorable funding environment, making it a more attractive investment opportunity compared to Bright Horizons [22][24] - Bright Horizons benefits from resilient demand for employer-sponsored childcare services but continues to face occupancy challenges in its centers [23]