Bright Horizons Q4 EPS Rises 17% to $1.15, Revenue Hits $733.7M

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Bright Horizons delivered Q4 adjusted EPS of $1.15, up from $0.98 a year ago and 1.8% above estimates, with revenue rising 8.8% to $733.7M, topping forecasts by 0.7%. Shares are down 19.5% YTD, while analysts’ downward revisions have led to a Sell rating and $0.88 EPS next quarter.

1. Q4 Earnings and Revenue Results

Bright Horizons reported Q4 adjusted EPS of $1.15, up 17% from $0.98 a year ago and 1.8% above the $1.13 consensus. Revenue climbed 8.8% year-over-year to $733.7M, surpassing estimates by 0.7% and marking a fourth consecutive quarter of beat.

2. Stock Underperformance This Year

Since the start of the year, shares have fallen approximately 19.5%, underperforming the S&P 500's 1.4% gain as investors weigh the company's growth prospects despite consistent earnings surprises.

3. Analyst Outlook and Estimate Trends

Consensus EPS for the next quarter stands at $0.88 on $711.7M in revenue, with full-year projections of $5.08 on $3.13B. Recent downward revisions prompted analysts to assign a Sell rating, indicating expectations of potential underperformance.

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