Analyst Erin Wright of Morgan Stanley maintained a Buy rating on BrightSpring Health Services, Inc., retaining the price target of $32.00.
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Erin Wright has given his Buy rating due to a combination of factors that highlight BrightSpring Health Services, Inc.’s strong financial performance and growth potential. The company reported preliminary third-quarter results that exceeded expectations, with a notable 37% year-over-year increase in EBITDA, surpassing both Morgan Stanley’s estimates and consensus forecasts. This impressive growth was largely driven by the Pharmacy Solutions segment, which saw a 31% increase, indicating robust demand and operational efficiency.
Furthermore, BrightSpring has raised its guidance for 2025, projecting substantial revenue growth across its segments, particularly in Pharmacy Solutions. The divestiture of the Community Living business is expected to reduce Medicaid exposure, which could mitigate policy and funding risks. Additionally, the company’s strategic initiatives, including share repurchases and capital deployment strategies, suggest a strong commitment to enhancing shareholder value. These factors collectively support Erin Wright’s optimistic outlook and Buy rating for the stock.
In another report released on October 17, Mizuho Securities also maintained a Buy rating on the stock with a $32.00 price target.