Analyst David Larsen from BTIG maintained a Buy rating on BrightSpring Health Services, Inc. (BTSG – Research Report) and keeping the price target at $25.00.
David Larsen’s rating is based on BrightSpring Health Services, Inc.’s strong financial performance and growth prospects. The company reported impressive fourth-quarter results with revenue and adjusted EBITDA exceeding expectations, driven by increased volumes in both the Pharmacy and Provider segments. The Pharmacy segment, in particular, showed robust growth with a significant increase in revenue and EBITDA, supported by the launch of new limited distribution drugs and a rise in prescription volumes.
Additionally, the Provider segment demonstrated solid performance with higher utilization rates and growth in home health services. The company’s strategic focus on expanding its home health care, rehab, and personal care businesses, along with its plans for further M&A activities, positions it well for continued growth. Furthermore, the valuation of BTSG appears attractive, with the stock trading at a reasonable multiple compared to its projected 2026 EBITDA, supporting the Buy recommendation.
Larsen covers the Healthcare sector, focusing on stocks such as Evolent Health, Hims & Hers Health, and DocGo. According to TipRanks, Larsen has an average return of -12.1% and a 27.47% success rate on recommended stocks.
In another report released on March 4, Morgan Stanley also reiterated a Buy rating on the stock with a $20.00 price target.