BFAM Relative Valuation
BFAM's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, BFAM is overvalued; if below, it's undervalued.
Historical Valuation
Bright Horizons Family Solutions Inc (BFAM) is now in the Undervalued zone, suggesting that its current forward PE ratio of 19.54 is considered Undervalued compared with the five-year average of 37.20. The fair price of Bright Horizons Family Solutions Inc (BFAM) is between 107.01 to 245.82 according to relative valuation methord. Compared to the current price of 96.34 USD , Bright Horizons Family Solutions Inc is Undervalued By 9.97%.
Relative Value
Fair Zone
107.01-245.82
Current Price：96.34
9.97%
Undervalued
19.54
PE
1Y
3Y
5Y
Trailing
Forward
13.90
EV/EBITDA
Bright Horizons Family Solutions Inc. (BFAM) has a current EV/EBITDA of 13.90. The 5-year average EV/EBITDA is 22.91. The thresholds are as follows: Strongly Undervalued below 6.03, Undervalued between 6.03 and 14.47, Fairly Valued between 31.35 and 14.47, Overvalued between 31.35 and 39.79, and Strongly Overvalued above 39.79. The current Forward EV/EBITDA of 13.90 falls within the Undervalued range.
17.75
EV/EBIT
Bright Horizons Family Solutions Inc. (BFAM) has a current EV/EBIT of 17.75. The 5-year average EV/EBIT is 38.22. The thresholds are as follows: Strongly Undervalued below -10.93, Undervalued between -10.93 and 13.65, Fairly Valued between 62.80 and 13.65, Overvalued between 62.80 and 87.38, and Strongly Overvalued above 87.38. The current Forward EV/EBIT of 17.75 falls within the Historic Trend Line -Fairly Valued range.
96.34
PS
Bright Horizons Family Solutions Inc. (BFAM) has a current PS of 96.34. The 5-year average PS is 4.17. The thresholds are as follows: Strongly Undervalued below -17.82, Undervalued between -17.82 and -6.83, Fairly Valued between 15.17 and -6.83, Overvalued between 15.17 and 26.17, and Strongly Overvalued above 26.17. The current Forward PS of 96.34 falls within the Strongly Overvalued range.
14.69
P/OCF
Bright Horizons Family Solutions Inc. (BFAM) has a current P/OCF of 14.69. The 5-year average P/OCF is 22.72. The thresholds are as follows: Strongly Undervalued below 5.75, Undervalued between 5.75 and 14.24, Fairly Valued between 31.21 and 14.24, Overvalued between 31.21 and 39.69, and Strongly Overvalued above 39.69. The current Forward P/OCF of 14.69 falls within the Historic Trend Line -Fairly Valued range.
19.28
P/FCF
Bright Horizons Family Solutions Inc. (BFAM) has a current P/FCF of 19.28. The 5-year average P/FCF is 31.75. The thresholds are as follows: Strongly Undervalued below 2.76, Undervalued between 2.76 and 17.25, Fairly Valued between 46.25 and 17.25, Overvalued between 46.25 and 60.74, and Strongly Overvalued above 60.74. The current Forward P/FCF of 19.28 falls within the Historic Trend Line -Fairly Valued range.
Bright Horizons Family Solutions Inc (BFAM) has a current Price-to-Book (P/B) ratio of 3.83. Compared to its 3-year average P/B ratio of 4.82 , the current P/B ratio is approximately -20.53% higher. Relative to its 5-year average P/B ratio of 5.38, the current P/B ratio is about -28.72% higher. Bright Horizons Family Solutions Inc (BFAM) has a Forward Free Cash Flow (FCF) yield of approximately 0.04%. Compared to its 3-year average FCF yield of 3.03%, the current FCF yield is approximately -98.59% lower. Relative to its 5-year average FCF yield of 2.70% , the current FCF yield is about -98.42% lower.
3.83
P/B
Median3y
4.82
Median5y
5.38
0.04
FCF Yield
Median3y
3.03
Median5y
2.70
Competitors Valuation Multiple
The average P/S ratio for BFAM's competitors is 99.46, providing a benchmark for relative valuation. Bright Horizons Family Solutions Inc Corp (BFAM) exhibits a P/S ratio of 96.34, which is -3.14% above the industry average. Given its robust revenue growth of 11.64%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of BFAM decreased by 16.68% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 7.64 to 9.78.
The secondary factor is the Revenue Growth, contributed 11.64%to the performance.
Overall, the performance of BFAM in the past 1 year is driven by Margin Expansion. Which is more sustainable.
People Also Watch
FAQ
Is Bright Horizons Family Solutions Inc (BFAM) currently overvalued or undervalued?
What is Bright Horizons Family Solutions Inc (BFAM) fair value?
How does BFAM's valuation metrics compare to the industry average?
What is the current P/B ratio for Bright Horizons Family Solutions Inc (BFAM) as of Nov 19 2025?
What is the current FCF Yield for Bright Horizons Family Solutions Inc (BFAM) as of Nov 19 2025?
What is the current Forward P/E ratio for Bright Horizons Family Solutions Inc (BFAM) as of Nov 19 2025?