BRIGHTSPRING HEALTH SERVICES (BTSG) Stock Fundamental Analysis
NASDAQ:BTSG - US10950A1060 - Common Stock
23.69 USD
-0.04 (-0.17%)
24.1389 USD
+0.45 (+1.89%)
Overall BTSG gets a fundamental rating of 4 out of 10. We evaluated BTSG against 101 industry peers in the Health Care Providers & Services industry. BTSG has a medium profitability rating, but doesn't score so well on its financial health evaluation. BTSG is not overvalued while it is showing excellent growth. This is an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year BTSG was profitable.
In the past year BTSG had a positive cash flow from operations.
In multiple years BTSG reported negative net income over the last 5 years.
Of the past 5 years BTSG 4 years had a positive operating cash flow.
1.2 Ratios
BTSG has a Return On Assets (1.10%) which is comparable to the rest of the industry.
BTSG has a Return On Equity of 3.76%. This is comparable to the rest of the industry: BTSG outperforms 59.41% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.19%, BTSG is in line with its industry, outperforming 51.49% of the companies in the same industry.
BTSG had an Average Return On Invested Capital over the past 3 years of 3.45%. This is significantly below the industry average of 9.14%.
The 3 year average ROIC (3.45%) for BTSG is below the current ROIC(4.19%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.1% | ||
| ROE | 3.76% | ||
| ROIC | 4.19% |
ROA(3y)-1.36%
ROA(5y)-0.55%
ROE(3y)-11.56%
ROE(5y)-5.06%
ROIC(3y)3.45%
ROIC(5y)3.56%
1.3 Margins
Looking at the Profit Margin, with a value of 0.55%, BTSG is in line with its industry, outperforming 50.49% of the companies in the same industry.
The Operating Margin of BTSG (1.96%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of BTSG has grown nicely.
The Gross Margin of BTSG (12.88%) is worse than 67.33% of its industry peers.
In the last couple of years the Gross Margin of BTSG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.96% | ||
| PM (TTM) | 0.55% | ||
| GM | 12.88% |
OM growth 3Y-19.38%
OM growth 5Y5.54%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-8.88%
GM growth 5Y-5.21%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), BTSG is destroying value.
BTSG has more shares outstanding than it did 1 year ago.
The number of shares outstanding for BTSG has been increased compared to 5 years ago.
BTSG has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.94 indicates that BTSG is not a great score, but indicates only limited risk for bankruptcy at the moment.
BTSG has a better Altman-Z score (2.94) than 62.38% of its industry peers.
BTSG has a debt to FCF ratio of 13.29. This is a negative value and a sign of low solvency as BTSG would need 13.29 years to pay back of all of its debts.
BTSG has a Debt to FCF ratio (13.29) which is comparable to the rest of the industry.
A Debt/Equity ratio of 1.43 is on the high side and indicates that BTSG has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.43, BTSG is doing worse than 65.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.43 | ||
| Debt/FCF | 13.29 | ||
| Altman-Z | 2.94 |
ROIC/WACC0.49
WACC8.61%
2.3 Liquidity
A Current Ratio of 1.76 indicates that BTSG should not have too much problems paying its short term obligations.
The Current ratio of BTSG (1.76) is better than 63.37% of its industry peers.
A Quick Ratio of 1.34 indicates that BTSG should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.34, BTSG is in line with its industry, outperforming 49.51% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.34 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 130.29% over the past year.
BTSG shows a strong growth in Revenue. In the last year, the Revenue has grown by 20.60%.
The Revenue has been growing by 20.01% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)130.29%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%120%
Revenue 1Y (TTM)20.6%
Revenue growth 3Y18.93%
Revenue growth 5Y20.01%
Sales Q2Q%15.29%
3.2 Future
Based on estimates for the next years, BTSG will show a very strong growth in Earnings Per Share. The EPS will grow by 38.52% on average per year.
Based on estimates for the next years, BTSG will show a quite strong growth in Revenue. The Revenue will grow by 12.46% on average per year.
EPS Next Y59.46%
EPS Next 2Y45.4%
EPS Next 3Y36.47%
EPS Next 5Y38.52%
Revenue Next Year11.37%
Revenue Next 2Y11.84%
Revenue Next 3Y12.03%
Revenue Next 5Y12.46%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 32.01, the valuation of BTSG can be described as expensive.
BTSG's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of BTSG to the average of the S&P500 Index (27.08), we can say BTSG is valued inline with the index average.
The Price/Forward Earnings ratio is 20.37, which indicates a rather expensive current valuation of BTSG.
60.40% of the companies in the same industry are more expensive than BTSG, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.72, BTSG is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.01 | ||
| Fwd PE | 20.37 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as BTSG.
60.40% of the companies in the same industry are more expensive than BTSG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.96 | ||
| EV/EBITDA | 15.72 |
4.3 Compensation for Growth
BTSG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
BTSG's earnings are expected to grow with 36.47% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.54
PEG (5Y)N/A
EPS Next 2Y45.4%
EPS Next 3Y36.47%
5. Dividend
5.1 Amount
No dividends for BTSG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
23.69
-0.04 (-0.17%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners55.39%
Inst Owner Change2.79%
Ins Owners2.61%
Ins Owner Change19.83%
Market Cap4.20B
Analysts84.21
Price Target29.28 (23.6%)
Short Float %16.92%
Short Ratio5.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)61.63%
Min EPS beat(2)26.26%
Max EPS beat(2)97.01%
EPS beat(4)2
Avg EPS beat(4)20.64%
Min EPS beat(4)-38.02%
Max EPS beat(4)97.01%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.05%
Min Revenue beat(2)2.86%
Max Revenue beat(2)3.24%
Revenue beat(4)3
Avg Revenue beat(4)2.58%
Min Revenue beat(4)-0.62%
Max Revenue beat(4)4.83%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.15%
PT rev (3m)11.88%
EPS NQ rev (1m)2.82%
EPS NQ rev (3m)37.2%
EPS NY rev (1m)1.91%
EPS NY rev (3m)6.75%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)3.63%
Revenue NY rev (1m)1.29%
Revenue NY rev (3m)1.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.01 | ||
| Fwd PE | 20.37 | ||
| P/S | 0.35 | ||
| P/FCF | 21.96 | ||
| P/OCF | 15.63 | ||
| P/B | 2.41 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.72 |
EPS(TTM)0.74
EY3.12%
EPS(NY)1.16
Fwd EY4.91%
FCF(TTM)1.08
FCFY4.55%
OCF(TTM)1.52
OCFY6.4%
SpS67.66
BVpS9.84
TBVpS-6.61
PEG (NY)0.54
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.1% | ||
| ROE | 3.76% | ||
| ROCE | 5.3% | ||
| ROIC | 4.19% | ||
| ROICexc | 4.25% | ||
| ROICexgc | 12.78% | ||
| OM | 1.96% | ||
| PM (TTM) | 0.55% | ||
| GM | 12.88% | ||
| FCFM | 1.59% |
ROA(3y)-1.36%
ROA(5y)-0.55%
ROE(3y)-11.56%
ROE(5y)-5.06%
ROIC(3y)3.45%
ROIC(5y)3.56%
ROICexc(3y)3.47%
ROICexc(5y)3.63%
ROICexgc(3y)17.05%
ROICexgc(5y)18.21%
ROCE(3y)4.37%
ROCE(5y)4.5%
ROICexcg growth 3Y-9.4%
ROICexcg growth 5Y19.06%
ROICexc growth 3Y-3.14%
ROICexc growth 5Y18.48%
OM growth 3Y-19.38%
OM growth 5Y5.54%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-8.88%
GM growth 5Y-5.21%
F-Score7
Asset Turnover2.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.43 | ||
| Debt/FCF | 13.29 | ||
| Debt/EBITDA | 5.85 | ||
| Cap/Depr | 40.85% | ||
| Cap/Sales | 0.65% | ||
| Interest Coverage | 1.2 | ||
| Cash Conversion | 63.23% | ||
| Profit Quality | 291.7% | ||
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.34 | ||
| Altman-Z | 2.94 |
F-Score7
WACC8.61%
ROIC/WACC0.49
Cap/Depr(3y)36.76%
Cap/Depr(5y)33.73%
Cap/Sales(3y)0.82%
Cap/Sales(5y)0.85%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)130.29%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%120%
EPS Next Y59.46%
EPS Next 2Y45.4%
EPS Next 3Y36.47%
EPS Next 5Y38.52%
Revenue 1Y (TTM)20.6%
Revenue growth 3Y18.93%
Revenue growth 5Y20.01%
Sales Q2Q%15.29%
Revenue Next Year11.37%
Revenue Next 2Y11.84%
Revenue Next 3Y12.03%
Revenue Next 5Y12.46%
EBIT growth 1Y171.93%
EBIT growth 3Y-4.13%
EBIT growth 5Y26.66%
EBIT Next Year59.04%
EBIT Next 3Y24.94%
EBIT Next 5Y28%
FCF growth 1Y186.65%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y284.83%
OCF growth 3Y-55.52%
OCF growth 5Y-26.51%