NYSE
According to Zyberno, BRIGHT HORIZONS FAMILY SOLUTIONS INC. (BFAM) shows a Value Trap signal — AVERAGE BUSINESS (59/100) with an apparent Margin of Safety of +56.4%, but a Brina Gap of -10.9% reveals the current price still assumes faster growth than the business can deliver.
According to Zyberno's DCF model, BRIGHT HORIZONS FAMILY SOLUTIONS INC. (BFAM) trades at $74.81 against an estimated intrinsic value per share of $171.78 — a +56.4% Margin of Safety based on Owner Earnings of $284.51M TTM, projected at 26.2% growth for 10 years with a 2.5% terminal growth rate. The Brina Gap of -10.9% weakens the case: based on the company's ROIC (8.9%) and reinvestment rate (2.9%), the business can fundamentally grow at 0.3% — but the current enterprise value implies the market expects 11.1%. This places BFAM in the Value Trap quadrant of the Brina Matrix — a value-trap signal where the apparent discount is undermined by overpriced growth expectations. Zyberno's model translates this into a 5-year expected return of 41.7% annually.
Over the trailing twelve months, BFAM generated $284.51M in Owner Earnings. Capital was deployed as follows: $224.80M returned via share buybacks, $97.07M invested in capital expenditures. Reinvestment rate: 2.9%. Owner Earnings have grown at 26.2% annually over the trailing five years using log-linear regression.