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Bright Horizons Family Solutions

DB:BHA
Snowflake Description

Moderate growth potential with questionable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
BHA
DB
$8B
Market Cap
  1. Home
  2. DE
  3. Consumer Services
Company description

Bright Horizons Family Solutions Inc. provides child care and early education, back-up care, and educational advisory services for employers and families. The last earnings update was 41 days ago. More info.


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BHA Share Price and Events
7 Day Returns
2.2%
DB:BHA
2.8%
Europe Consumer Services
0.7%
DE Market
1 Year Returns
36.5%
DB:BHA
-19%
Europe Consumer Services
-8.7%
DE Market
BHA Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Bright Horizons Family Solutions (BHA) 2.2% 3.6% 13.2% 36.5% 108.8% 294.7%
Europe Consumer Services 2.8% 2.2% 2.8% -19% -46% -50.2%
DE Market 0.7% -1.2% 0.2% -8.7% 10% 8.1%
1 Year Return vs Industry and Market
  • BHA outperformed the Consumer Services industry which returned -19% over the past year.
  • BHA outperformed the Market in Germany which returned -8.7% over the past year.
Price Volatility
BHA
Industry
5yr Volatility vs Market

Value

 Is Bright Horizons Family Solutions undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Bright Horizons Family Solutions to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Bright Horizons Family Solutions.

DB:BHA Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 6 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 5.8%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:BHA
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Consumer Services Unlevered Beta Simply Wall St/ S&P Global 0.76
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.761 (1 + (1- 21%) (22.36%))
0.93
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.93
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (0.93 * 5.96%)
5.77%

Discounted Cash Flow Calculation for DB:BHA using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Bright Horizons Family Solutions is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

DB:BHA DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 5.77%)
2019 227.26 Analyst x2 214.87
2020 244.40 Analyst x2 218.46
2021 256.97 Est @ 5.14% 217.17
2022 266.40 Est @ 3.67% 212.86
2023 273.42 Est @ 2.64% 206.56
2024 278.65 Est @ 1.91% 199.03
2025 282.58 Est @ 1.41% 190.83
2026 285.56 Est @ 1.05% 182.32
2027 287.86 Est @ 0.81% 173.77
2028 289.68 Est @ 0.63% 165.33
Present value of next 10 years cash flows $1,981.20
DB:BHA DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $289.68 × (1 + 0.23%) ÷ (5.77% – 0.23%)
$5,240.22
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $5,240.22 ÷ (1 + 5.77%)10
$2,990.75
DB:BHA Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $1,981.20 + $2,990.75
$4,971.95
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $4,971.95 / 58.09
$85.59
DB:BHA Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:BHA represents 0.8836x of NYSE:BFAM
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.8836x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 85.59 x 0.8836
€75.63
Value per share (EUR) From above. €75.63
Current discount Discount to share price of €123.28
= -1 x (€123.28 - €75.63) / €75.63
-63%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Bright Horizons Family Solutions is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Bright Horizons Family Solutions's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Bright Horizons Family Solutions's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:BHA PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $2.81
NYSE:BFAM Share Price ** NYSE (2019-06-19) in USD $139.52
Europe Consumer Services Industry PE Ratio Median Figure of 10 Publicly-Listed Consumer Services Companies 18.33x
Germany Market PE Ratio Median Figure of 424 Publicly-Listed Companies 19.53x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Bright Horizons Family Solutions.

DB:BHA PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:BFAM Share Price ÷ EPS (both in USD)

= 139.52 ÷ 2.81

49.73x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Bright Horizons Family Solutions is overvalued based on earnings compared to the Europe Consumer Services industry average.
  • Bright Horizons Family Solutions is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does Bright Horizons Family Solutions's expected growth come at a high price?
Raw Data
DB:BHA PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 49.73x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts
12.8%per year
Europe Consumer Services Industry PEG Ratio Median Figure of 7 Publicly-Listed Consumer Services Companies 1.25x
Germany Market PEG Ratio Median Figure of 270 Publicly-Listed Companies 1.49x

*Line of best fit is calculated by linear regression .

DB:BHA PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 49.73x ÷ 12.8%

3.89x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Bright Horizons Family Solutions is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Bright Horizons Family Solutions's assets?
Raw Data
DB:BHA PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $14.49
NYSE:BFAM Share Price * NYSE (2019-06-19) in USD $139.52
Europe Consumer Services Industry PB Ratio Median Figure of 18 Publicly-Listed Consumer Services Companies 1.95x
Germany Market PB Ratio Median Figure of 575 Publicly-Listed Companies 1.78x
DB:BHA PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:BFAM Share Price ÷ Book Value per Share (both in USD)

= 139.52 ÷ 14.49

9.63x

* Primary Listing of Bright Horizons Family Solutions.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Bright Horizons Family Solutions is overvalued based on assets compared to the Europe Consumer Services industry average.
X
Value checks
We assess Bright Horizons Family Solutions's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Consumer Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Consumer Services industry average (and greater than 0)? (1 check)
  5. Bright Horizons Family Solutions has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Bright Horizons Family Solutions expected to perform in the next 1 to 3 years based on estimates from 6 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
12.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Bright Horizons Family Solutions expected to grow at an attractive rate?
  • Bright Horizons Family Solutions's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • Bright Horizons Family Solutions's earnings growth is expected to exceed the Germany market average.
  • Bright Horizons Family Solutions's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:BHA Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:BHA Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts 12.8%
DB:BHA Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 6 Analysts 8.8%
Europe Consumer Services Industry Earnings Growth Rate Market Cap Weighted Average 13.7%
Europe Consumer Services Industry Revenue Growth Rate Market Cap Weighted Average 7.2%
Germany Market Earnings Growth Rate Market Cap Weighted Average 12.6%
Germany Market Revenue Growth Rate Market Cap Weighted Average 5.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:BHA Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:BHA Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 2,477 2
2020-12-31 2,250 348 200 6
2019-12-31 2,073 317 175 6
DB:BHA Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 1,941 296 162
2018-12-31 1,903 295 157
2018-09-30 1,865 275 162
2018-06-30 1,827 269 159
2018-03-31 1,782 247 152
2017-12-31 1,741 248 156
2017-09-30 1,700 261 122
2017-06-30 1,650 234 113
2017-03-31 1,607 234 111
2016-12-31 1,570 213 94
2016-09-30 1,543 193 101
2016-06-30 1,525 202 99

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Bright Horizons Family Solutions's earnings are expected to grow by 12.8% yearly, however this is not considered high growth (20% yearly).
  • Bright Horizons Family Solutions's revenue is expected to grow by 8.8% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:BHA Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below

All data from Bright Horizons Family Solutions Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:BHA Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31
2020-12-31 3.39 3.40 3.38 2.00
2019-12-31 2.98 3.00 2.95 2.00
DB:BHA Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 2.81
2018-12-31 2.72
2018-09-30 2.79
2018-06-30 2.74
2018-03-31 2.59
2017-12-31 2.65
2017-09-30 2.06
2017-06-30 1.92
2017-03-31 1.87
2016-12-31 1.59
2016-09-30 1.69
2016-06-30 1.65

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Bright Horizons Family Solutions is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Bright Horizons Family Solutions's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Bright Horizons Family Solutions has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Bright Horizons Family Solutions performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Bright Horizons Family Solutions's growth in the last year to its industry (Consumer Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Bright Horizons Family Solutions's year on year earnings growth rate has been positive over the past 5 years.
  • Bright Horizons Family Solutions's 1-year earnings growth is less than its 5-year average (6.5% vs 18.1%)
  • Bright Horizons Family Solutions's earnings growth has exceeded the Europe Consumer Services industry average in the past year (6.5% vs -1.3%).
Earnings and Revenue History
Bright Horizons Family Solutions's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Bright Horizons Family Solutions Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:BHA Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 1,941.28 161.84 207.25
2018-12-31 1,903.18 157.10 201.59
2018-09-30 1,864.82 161.82 200.33
2018-06-30 1,826.55 159.31 197.27
2018-03-31 1,782.40 151.94 193.01
2017-12-31 1,740.91 156.00 188.94
2017-09-30 1,699.56 121.85 183.55
2017-06-30 1,650.18 113.25 176.80
2017-03-31 1,606.68 110.55 168.68
2016-12-31 1,569.84 93.92 162.57
2016-09-30 1,542.90 100.71 158.41
2016-06-30 1,524.92 98.81 155.22
2016-03-31 1,493.33 95.42 151.35
2015-12-31 1,458.45 93.29 148.16
2015-09-30 1,424.62 88.36 146.37
2015-06-30 1,393.65 83.26 142.81
2015-03-31 1,371.28 78.15 139.12
2014-12-31 1,353.00 71.76 137.68
2014-09-30 1,334.41 76.68 133.74
2014-06-30 1,308.10 76.40 132.16
2014-03-31 1,270.81 79.35 131.11
2013-12-31 1,218.78 12.62 137.83
2013-09-30 1,173.03 -7.72 133.66
2013-06-30 1,132.29 -20.99 129.51
2013-03-31 1,092.94 -51.46 139.21
2012-12-31 1,070.94 2.73 122.47
2012-09-30 1,046.40 2.96 117.84
2012-06-30 1,022.35 0.40 113.47

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Bright Horizons Family Solutions has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Bright Horizons Family Solutions used its assets less efficiently than the Europe Consumer Services industry average last year based on Return on Assets.
  • Bright Horizons Family Solutions's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Bright Horizons Family Solutions's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Consumer Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Bright Horizons Family Solutions has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Bright Horizons Family Solutions's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Bright Horizons Family Solutions's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Bright Horizons Family Solutions's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Bright Horizons Family Solutions's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Bright Horizons Family Solutions's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Bright Horizons Family Solutions Company Filings, last reported 2 months ago.

DB:BHA Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 837.01 1,812.01 26.13
2018-12-31 779.48 1,165.82 15.45
2018-09-30 780.21 1,143.82 21.30
2018-06-30 749.02 1,164.33 22.91
2018-03-31 737.18 1,183.94 20.32
2017-12-31 749.06 1,183.86 23.23
2017-09-30 774.51 1,124.89 42.27
2017-06-30 722.04 1,128.64 34.34
2017-03-31 726.05 1,077.41 21.49
2016-12-31 687.87 1,140.76 14.63
2016-09-30 697.96 939.91 19.48
2016-06-30 677.99 940.94 45.03
2016-03-31 728.07 912.77 40.15
2015-12-31 727.61 939.21 11.54
2015-09-30 714.82 943.19 21.39
2015-06-30 742.24 918.16 76.92
2015-03-31 765.45 919.64 123.66
2014-12-31 750.96 921.18 87.89
2014-09-30 952.47 760.56 109.01
2014-06-30 951.73 761.78 112.28
2014-03-31 914.94 763.00 75.73
2013-12-31 889.14 764.22 29.59
2013-09-30 858.04 786.04 35.01
2013-06-30 820.39 766.67 63.00
2013-03-31 790.05 767.89 96.74
2012-12-31 608.34 906.64 34.11
2012-09-30 605.92 898.90 45.06
2012-06-30 595.13 891.36 62.76
  • Bright Horizons Family Solutions's level of debt (130.9%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (83.4% vs 130.9% today).
  • Debt is well covered by operating cash flow (27%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 5.1x coverage).
X
Financial health checks
We assess Bright Horizons Family Solutions's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Bright Horizons Family Solutions has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Bright Horizons Family Solutions's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Bright Horizons Family Solutions dividends. Estimated to be 0% next year.
If you bought €2,000 of Bright Horizons Family Solutions shares you are expected to receive €0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Bright Horizons Family Solutions's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Bright Horizons Family Solutions's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:BHA Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
Europe Consumer Services Industry Average Dividend Yield Market Cap Weighted Average of 5 Stocks 2.3%
Germany Market Average Dividend Yield Market Cap Weighted Average of 327 Stocks 3.2%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.5%
Germany Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:BHA Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.00 3.00
2020-12-31 0.00 4.00
2019-12-31 0.00 4.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Bright Horizons Family Solutions has not reported any payouts.
  • Unable to verify if Bright Horizons Family Solutions's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Bright Horizons Family Solutions's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Bright Horizons Family Solutions has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Bright Horizons Family Solutions's dividends in 3 years as they are not expected to pay a notable one for Germany.
X
Income/ dividend checks
We assess Bright Horizons Family Solutions's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Bright Horizons Family Solutions afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Bright Horizons Family Solutions has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Bright Horizons Family Solutions's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Stephen Kramer
COMPENSATION $3,390,321
AGE 47
TENURE AS CEO 1.4 years
CEO Bio

Mr. Stephen Howard Kramer has been the Chief Executive Officer and Director of Bright Horizons Family Solutions, Inc. since January 1, 2018 and has been its President since January 1, 2016. Mr. Kramer served as Chief Development Officer since of Bright Horizons Family Solutions, Inc. since January 2014 until January 2016. Mr. Kramer served as the Chief Development Officer and Managing Director of Europe at Bright Horizons Family Solutions Ltd. He was Senior Vice President, Strategic Growth & Global Operations from January 2010 until December 2013. He served as Managing Director, Europe based in the United Kingdom from January 2008 until December 2009. He has overall responsibility for Bright Horizons operations and growth in the United Kingdom and Ireland. He joined Bright Horizons in September 2006 through the acquisition of College Coach, which he co-founded and led for eight years. He transitioned from a leadership role at the parent company based in the United States. He served as an Associate of Fidelity Ventures. While at Fidelity Ventures, he invested and consulted to a number of education service companies. He was a Consultant with Arthur D. Little, where he directed high growth organizations in the areas of strategy and operations. He is considered a thought-leader in the field of start-up operations and venture capital. He serves as a Director of Building Excellent Schools. He served as a Director of Grasshopper Group, LLC. Mr. Kramer studied at the London School of Economics and has a BS from Babson College and an MBA from Harvard Business School.

CEO Compensation
  • Stephen's compensation has increased by more than 20% in the past year whilst earnings grew less than 20%.
  • Stephen's remuneration is about average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Bright Horizons Family Solutions management team in years:

6.4
Average Tenure
52.5
Average Age
  • The average tenure for the Bright Horizons Family Solutions management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Dave Lissy

TITLE
Executive Chairman of the Board
COMPENSATION
$2M
AGE
52

Stephen Kramer

TITLE
CEO, President & Director
COMPENSATION
$3M
AGE
47
TENURE
1.4 yrs

Elizabeth Boland

TITLE
Chief Financial Officer
COMPENSATION
$1M
AGE
58
TENURE
20 yrs

Mary Burke-Afonso

TITLE
Chief Operating Officer of North America Center Operations
COMPENSATION
$1M
AGE
53
TENURE
3.4 yrs

Tammy Chuprevich

TITLE
Senior Vice President of Operations
TENURE
18.8 yrs

John Casagrande

TITLE
General Counsel
TENURE
9.4 yrs

Hoffer Serpa

TITLE
Vice President of Communications
TENURE
20.4 yrs

Steve Dreier

TITLE
Executive VP & Secretary
COMPENSATION
$683K
AGE
75
TENURE
3.4 yrs

Dan Henry

TITLE
Chief Culture Officer
COMPENSATION
$818K
AGE
51
TENURE
3 yrs

Sandy Wells

TITLE
Chief Development Officer
Board of Directors Tenure

Average tenure and age of the Bright Horizons Family Solutions board of directors in years:

16
Average Tenure
62
Average Age
  • The average tenure for the Bright Horizons Family Solutions board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Stephen Kramer

TITLE
CEO, President & Director
COMPENSATION
$3M
AGE
47
TENURE
1.4 yrs

Salle Kondracke

TITLE
Independent Director
COMPENSATION
$163K
AGE
72
TENURE
14.5 yrs

Dave Lissy

TITLE
Executive Chairman of the Board
COMPENSATION
$2M
AGE
52
TENURE
1.4 yrs

Larry Alleva

TITLE
Director
COMPENSATION
$183K
AGE
68
TENURE
6.8 yrs

Jordan Hitch

TITLE
Director
COMPENSATION
$170K
AGE
51
TENURE
11.4 yrs

Mary Tocio

TITLE
Director
COMPENSATION
$150K
AGE
70
TENURE
17.6 yrs

Roger Brown

TITLE
Director
COMPENSATION
$153K
AGE
61
TENURE
33.4 yrs

Linda Mason

TITLE
Director
COMPENSATION
$150K
AGE
63
TENURE
33.4 yrs

Sara Lawrence-Lightfoot

TITLE
Director
COMPENSATION
$155K
AGE
73
TENURE
26.4 yrs

Josh Bekenstein

TITLE
Director
COMPENSATION
$158K
AGE
59
TENURE
33.4 yrs
Who owns this company?
Recent Insider Trading
  • Bright Horizons Family Solutions insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
07. Jun 19 Sell Mary Burke-Afonso Individual 05. Jun 19 06. Jun 19 -2,556 €123.09 €-314,619
17. May 19 Sell Stephen Dreier Individual 16. May 19 16. May 19 -4,000 €119.68 €-478,718
15. Apr 19 Sell Mary Burke-Afonso Individual 15. Apr 19 15. Apr 19 -852 €113.13 €-96,383
15. Mar 19 Sell David Lissy Individual 14. Mar 19 14. Mar 19 -37,673 €110.32 €-4,155,967
15. Feb 19 Sell Mary Burke-Afonso Individual 15. Feb 19 15. Feb 19 -852 €106.17 €-90,460
X
Management checks
We assess Bright Horizons Family Solutions's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Bright Horizons Family Solutions has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Bright Horizons Family Solutions Inc. provides child care and early education, back-up care, and educational advisory services for employers and families. The company operates through three segments: Full Service Center-Based Child Care, Back-Up Care, and Educational Advisory Services. The Full Service Center-Based Child Care segment offers traditional center-based child care, preschool, and elementary education services. The Back-Up Care segment provides center-based back-up child care, and in-home child and adult/elder dependent care services. The Educational Advisory Services segment offers tuition reimbursement program management and related educational consulting services, as well as college admissions advisory services. As of December 31, 2018, it operated 1,082 child care and early education centers in 41 U.S. states and the District of Columbia, Puerto Rico, the United Kingdom, Canada, the Netherlands, and India. The company was formerly known as Bright Horizons Solutions Corp. and changed its name to Bright Horizons Family Solutions Inc. in July 2012. Bright Horizons Family Solutions Inc. was founded in 1986 and is headquartered in Watertown, Massachusetts.

Details
Name: Bright Horizons Family Solutions Inc.
BHA
Exchange: DB
Founded: 1986
$7,235,026,882
58,089,568
Website: http://www.brighthorizons.com
Address: Bright Horizons Family Solutions Inc.
200 Talcott Avenue South,
Watertown,
Massachusetts, 02472,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE BFAM New Common Stock New York Stock Exchange US USD 25. Jan 2013
DB BHA New Common Stock Deutsche Boerse AG DE EUR 25. Jan 2013
Number of employees
Current staff
Staff numbers
33,350
Bright Horizons Family Solutions employees.
Industry
Education Services
Consumer Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/19 21:42
End of day share price update: 2019/06/19 00:00
Last estimates confirmation: 2019/06/17
Last earnings filing: 2019/05/09
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.