# BrightSpring Health Services, Inc. Common Stock (BTSG.US)

Canonical: https://gigainvestors.com/s/BTSG

Analysis as of: 2026-10-16T07:27:08.117Z. Financial observations: FY2018–FY2026.

Listing currency: USD. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: $62.36 per share; close as of 2026-10-15.

Estimated value: low $9.55 per share, central $10.68 per share, high $12.19 per share. Buy at or below the central value $10.68 per share. Valuation as of 2026-10-16T07:27:08.117Z; scenarios are not confidence intervals.

Expected annual return: 4.0% at the stated quote. About 4.0% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: fail

- 0 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- Financial history: 9 years

- Years with declining revenue: 0

- Years with a net loss: 5

- Operating margin variation: 0.28×

Chart: Operating margin; fiscal year observations.

- FY2018: 0.03×

- FY2019: 0.01×

- FY2020: 0.03×

- FY2021: 0.03×

- FY2022: 0.02×

- FY2023: 0.02×

- FY2024: 0.02×

- FY2025: 0.02×

- LTM to Jun 2026: 0.03×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 7.9%

- ROIC, second-lowest year: 6.0%

- Typical minus recent gross margin: 3.9 pp

- Typical gross margin (annual median): 16.2%

- Recent gross margin (lower of latest and 3-year median): 12.4%

- Years with nonpositive capital: 0

- Capital spending / revenue: 0.9%

- ROIC including acquisitions, ten-year median: 2.3%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2019: 3.0%

- FY2020: 7.6%

- FY2021: 9.5%

- FY2022: 8.1%

- FY2023: 6.0%

- FY2024: 7.7%

- FY2025: 11.5%

- LTM to Jun 2026: 29.7%

### economics: pass

- Owner earnings / net income, 5-yr: 2.98×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $770M

- Net income, five-year total: $258M

- Working capital / revenue, annual change: -1.1 pp

Chart: Annual owner cash / profit; fiscal year observations.

- FY2022: -1.48×

- FY2023: 0.17×

- FY2024: -5.84×

- FY2025: 1.36×

- LTM to Jun 2026: 1.19×

### management: fail

- buybacks leaned toward cheaper years (informational)

- Per-share earnings: -0.04 to -0.09 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: 5.1%

- Diluted shares, 5-year annual growth: 5.1%

- Per-share value change: -$0.05

- Per-share value, starting three-year median: -$0.04

- Per-share value, ending three-year median: -$0.09

- Buybacks concentrated in cheaper years (correlation): 1.00

- Average buyback yield: 0.3%

- Buyback history: 2 years

- Debt-funded buybacks: No

- ROIC, last three-year median: 7.7%

Chart: Earnings per share; fiscal year observations.

- FY2018: -$0.04

- FY2019: -$0.50

- FY2020: $0.12

- FY2021: $0.29

- FY2022: -$0.46

- FY2023: -$1.31

- FY2024: -$0.09

- FY2025: $0.87

### accounting: pass

- Sloan accruals: -4.7%

- Receivables to sales index (DSRI): 0.81×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 14.3%

- Earnings backed by cash: Yes

- Operating cash / earnings: 2.57×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 1.65×

Chart: Sloan accruals; fiscal year observations.

- FY2019: -4.8%

- FY2020: -4.4%

- FY2021: -4.0%

- FY2022: -0.9%

- FY2023: -6.6%

- FY2024: -0.7%

- FY2025: -4.7%

## Holders

- [Andreas Halvorsen](https://gigainvestors.com/vg): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Price needs cash profits to grow 25.1% a year for ten years · "BTSG Faces $200M IRA Hit but Efficiency May Protect Profitability" (finance.yahoo.com, Sep 2026) · sales +11.3%

Story as of 2026-10-16T09:58:26.239Z; price observation 2026-10-15.

Price needs cash profits to grow 25.1% a year for ten years

- 2025-05-16: BTSG Q1 Earnings Call: Revenue and Profit Exceed Expectations, Raises Full-Year Outlook ([finance.yahoo.com](https://finance.yahoo.com/news/btsg-q1-earnings-call-revenue-130515065.html))

- 2025-08-01: BrightSpring Health Services (NASDAQ:BTSG) Surpasses Q2 2025 Estimates and Raises Full-Year Guidance ([chartmill.com](https://www.chartmill.com/news/BTSG/Chartmill-32107-BrightSpring-Health-Services-NASDAQBTSG-Surpasses-Q2-2025-Estimates-and-Raises-Full-Year-Guidance))

- 2025-10-20: BrightSpring Health reports preliminary third quarter revenue, increases FY25 guidance ([seekingalpha.com](https://seekingalpha.com/news/4505750-brightspring-health-reports-preliminary-third-quarter-revenue-increases-fy25-guidance?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

- 2025-11-03: What BrightSpring Health Services (BTSG)'s Strong Q3 Rebound and Raised Guidance Means For Shareholders ([finance.yahoo.com](https://finance.yahoo.com/news/brightspring-health-services-btsg-strong-131104175.html))

- 2026-05-04: BTSG Q1 Deep Dive: Specialty and Infusion Growth Drives Margin Expansion and Upbeat Guidance ([finance.yahoo.com](https://finance.yahoo.com/sectors/healthcare/articles/btsg-q1-deep-dive-specialty-035655828.html))

- 2026-06-11: BrightSpring Health Services Sees Specialty Pharmacy, Tuck-In Deals Fueling Growth ([finance.yahoo.com](https://finance.yahoo.com/sectors/healthcare/articles/brightspring-health-services-sees-specialty-110441085.html))

### Sales · FY2025–2026

sales +11.3%; source https://www.sec.gov/Archives/edgar/data/1865782/000119312526079454/btsg-20251231.htm; observed 2026-02-27.

- FY2018: $2.5B 

- FY2019: $4.5B 

- FY2020: $5.6B 

- FY2021: $6.7B 

- FY2022: $7.7B 

- FY2023: $8.8B 

- FY2024: $11B 

- FY2025: $13B 

- FY2026: $14B 

### Gross margin · FY2026

gross margin 12.4%; source https://www.sec.gov/Archives/edgar/data/1865782/000119312526079454/btsg-20251231.htm; observed 2026-02-27.

- FY2018: 14.8% 

- FY2019: 18.4% 

- FY2020: 18.8% 

- FY2021: 18.6% 

- FY2022: 17.5% 

- FY2023: 16.2% 

- FY2024: 14.1% 

- FY2025: 11.8% 

- FY2026: 12.4% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in health information services; annual sales are USD 12.9 billion.

- Source: https://www.sec.gov/Archives/edgar/data/1865782/000119312526079454/btsg-20251231.htm (filed 2026-02-27); FY2025: revenue 12910564000; grossProfit 1517777000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); BTSG.US: BrightSpring Health Services, Inc. operates as a home and community-based healthcare services platform in the United States. The company operates through two segments, Pharmacy Solutions and Provider Services. Its platform focuses on delivering pharmacy and provider services, including clinical and supportive care in home and community settings to Medicare, Medicaid, and insured populations. It also offers infused, injectable, and oral medication services; and patient-centric, highly skilled, and compassionate clinical home health care, as well as rehabilitation services, including physical, speech and occupational therapy and applied behavioral analysis. The company was formerly known as Phoenix Parent Holdings Inc. and changed its name to BrightSpring Health Services, Inc. in May 2021. BrightSpring Health Services, Inc. was founded in 1974 and is headquartered in Louisville, Kentucky.

### Why customers stay

Margins ranged from 11.8% to 16.2% during 2023–25; it earns 7.9% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2023: grossProfit / revenue = 16.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2024: grossProfit / revenue = 14.1%.

- Source: https://www.sec.gov/Archives/edgar/data/1865782/000119312526079454/btsg-20251231.htm (filed 2026-02-27); FY2025: grossProfit / revenue = 11.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); 9-year return on capital observations [[2019,0.02992976822977284],[2020,0.07618565530561168],[2021,0.09470726160712914],[2022,0.08055089309366953],[2023,0.05988818885308588],[2024,0.07662578653597056],[2025,0.1151323237455978],[2026,0.29693711677257595]]; median 0.07858833981482005. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Reinvests 78.8% of cash earnings; paid no dividends in 8 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2018: growth capex 0; upkeep 33201000; owner earnings 40347000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2019: growth capex 0; upkeep 51221000; owner earnings 31266000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2020: growth capex 0; upkeep 51908000; owner earnings 150404000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2021: growth capex 0; upkeep 59270000; owner earnings 189684000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2022: growth capex 0; upkeep 70113000; cash acquisitions 42459000; owner earnings 79950000. Growth capex plus acquisitions / owner earnings = 0.5310694183864916.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2024: growth capex 0; upkeep 80913000; cash acquisitions 59797000; owner earnings 105507000. Growth capex plus acquisitions / owner earnings = 0.5667586036945416.

- Source: https://www.sec.gov/Archives/edgar/data/1865782/000119312526079454/btsg-20251231.htm (filed 2026-02-27); FY2025: growth capex 0; upkeep 95484000; cash acquisitions 204564000; owner earnings 259459000. Growth capex plus acquisitions / owner earnings = 0.7884251461695296.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); Dividend observations: [[2018,0],[2019,0],[2020,0],[2021,0],[2022,0],[2023,0],[2024,0],[2025,0]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/1865782/000119312526079454/btsg-20251231.htm (filed 2026-02-27); FY2025: cash repurchases 43173000 USD.

### Are managers owners

Insiders own 3.1% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); BTSG.US SharesStats.PercentInsiders = 3.118 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 25.1% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); Ten-year compound average after fade. Initial solved rate 0.35336986057501496. Price 62.36; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03.  Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2024-01: $11.02 per share

- 2024-02: $8.99 per share

- 2024-03: $10.87 per share

- 2024-04: $10.69 per share

- 2024-05: $11.25 per share

- 2024-06: $11.36 per share

- 2024-07: $12.39 per share

- 2024-08: $12.55 per share

- 2024-09: $14.68 per share

- 2024-10: $14.97 per share

- 2024-11: $19.30 per share

- 2024-12: $17.03 per share

- 2025-01: $23.60 per share

- 2025-02: $19.28 per share

- 2025-03: $18.09 per share

- 2025-04: $17.53 per share

- 2025-05: $23.81 per share

- 2025-06: $23.59 per share

- 2025-07: $20.65 per share

- 2025-08: $23.69 per share

- 2025-09: $29.56 per share

- 2025-10: $33.05 per share

- 2025-11: $36.16 per share

- 2025-12: $37.45 per share

- 2026-01: $39.27 per share

- 2026-02: $41.43 per share

- 2026-03: $42.61 per share

- 2026-04: $47.97 per share

- 2026-05: $61.68 per share

- 2026-06: $69.74 per share

- 2026-07: $59.71 per share

- 2026-08: $58.40 per share

- 2026-09: $56.75 per share

- 2026-10: $62.36 per share

## Annual estimated value (USD per share)

- FY2022: low $11.39 per share, central $12.96 per share, high $15.06 per share

- FY2023: low $8.48 per share, central $9.64 per share, high $11.20 per share

- FY2024: low $6.61 per share, central $7.52 per share, high $8.73 per share

- FY2025: low $6.65 per share, central $7.57 per share, high $8.79 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/1865782/000119312526079454/btsg-20251231.htm); period 2025-12-31, filed 2026-02-27.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.