Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
Operating Income
by its Interest Expense. Bright Horizons Family Solutions's
Operating Income
for the
three
months ended in Mar. 2026 was MXN1,171 Mil. Bright Horizons Family Solutions's Interest Expense for the
three
months ended in Mar. 2026 was MXN-217 Mil.
Bright Horizons Family Solutions's interest coverage for the quarter that ended in Mar. 2026 was 5.40.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Bright Horizons Family Solutions's Interest Coverage or its related term are showing as below:
MEX:BFAM'
s Interest Coverage Range Over the Past 10 Years
Min: 1.42 Med: 4.68 Max: 7.03
Current: 6.83
MEX:BFAM's Interest Coverage is ranked worse than 57.75% of 71
companies
in the Personal Services industry
Industry Median: 9.34
vs MEX:BFAM: 6.83
Bright Horizons Family Solutions (MEX:BFAM) Interest Coverage Explanation
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
Bright Horizons Family Solutions Interest Coverage Related Terms
Bright Horizons Family Solutions Interest Coverage Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
Bright Horizons Family Solutions Interest Coverage Chart
MEX:BFAM vs ANDG, HRB, FTDR: Interest Coverage Comparison
For the Personal Services subindustry, Bright Horizons Family Solutions's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Bright Horizons Family Solutions Interest Coverage vs Personal Services Industry
For the Personal Services industry and Consumer Cyclical sector, Bright Horizons Family Solutions's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Bright Horizons Family Solutions's Interest Coverage falls into.
Bright Horizons Family Solutions Interest Coverage Calculation
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Bright Horizons Family Solutions (MEX:BFAM) has a Interest Coverage of 5.40 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Bright Horizons Family Solutions and its competitors. This is 15% above median its historical median of 4.68. Over the past decade, Bright Horizons Family Solutions' Interest Coverage has ranged from 1.42 to 7.03. According to the industry distribution chart, Bright Horizons Family Solutions ranks #41 out of 71 companies in the Personal Services industry, placing it in the top 57.7%.
Is Bright Horizons Family Solutions' Interest Coverage too high?
Bright Horizons Family Solutions' current Interest Coverage of 5.40 is 15% above median its 10-year median of 4.68. Over the past 10 years, this metric has ranged from a low of 1.42 to a high of 7.03. The Personal Services industry median Interest Coverage is 9.34. Bright Horizons Family Solutions' value of 5.40 is 42.2% below this industry median. Based on the distribution chart, Bright Horizons Family Solutions ranks #41 out of 71 companies in the Personal Services industry, which is below the industry midpoint. Overall, Bright Horizons Family Solutions has a GF Score™ of 77/100, reflecting its overall financial health beyond just this single metric.
How does Bright Horizons Family Solutions' Interest Coverage compare to ANDG and HRB?
According to the Personal Services industry distribution chart, Bright Horizons Family Solutions ranks #41 out of 71 companies for Interest Coverage. This places Bright Horizons Family Solutions in the lower half of its industry. The industry median Interest Coverage is 9.34. Bright Horizons Family Solutions' value of 5.40 is 42.2% below this benchmark. Historically, Bright Horizons Family Solutions' own Interest Coverage has ranged from 1.42 to 7.03 over the past decade. While the company's 10-year median is 4.68 vs. the industry median of 9.34, Bright Horizons Family Solutions has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Personal Services company?
The median Interest Coverage among Personal Services companies is 9.34, based on 71 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Bright Horizons Family Solutions's current Interest Coverage of 5.40 is 42.2% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Bright Horizons Family Solutions and its competitors. For the Personal Services industry, the median Interest Coverage is 9.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bright Horizons Family Solutions's current Interest Coverage is 5.40, which is 15% above median its own 10-year median of 4.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bright Horizons Family Solutions stock overvalued right now?
Bright Horizons Family Solutions (MEX:BFAM) has a current Interest Coverage of 5.40. The stock's GF Value™ is MXN2,633.63, compared to a current price of MXN1,370.45 — trading 48% below its estimated fair value. The current Interest Coverage is 5.40, which is 15% above median its 10-year median of 4.68 and 42.2% below the Personal Services industry median of 9.34. Bright Horizons Family Solutions' overall GF Score™ is 77/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Bright Horizons Family Solutions (MEX:BFAM), the current Interest Coverage is 5.40 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Bright Horizons Family Solutions (MEX:BFAM) Overvalued in 2026?
Based on GuruFocus' analysis, Bright Horizons Family Solutions stock appears to be undervalued.
The current stock price of MXN1,370.45 is trading 48% below its estimated GF Value™ of MXN2,633.63.
Key valuation signals for MEX:BFAM:
Interest Coverage: 5.40 (15% above median its 10-year median of 4.68)
GF Value™: MXN2,633.63 vs. price of MXN1,370.45 (48% below fair value)
Industry Position: 42.2% below the Personal Services median (#41 of 71)
No single metric tells the full story. See the MEX:BFAM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bright Horizons Family Solutions Business Description
Bright Horizons Family Solutions Inc provider of early education and child care, family care solutions, and workforce education services that help working families and client employees personally and professionally. It provides services under multi-year contracts with employers that offer early education and child care, back-up care, and educational advisory services as part of their employee benefits package. The company has three business segments; Full-service center-based child care, Backup care, and Educational advisory services. The majority of the revenue is generated by full-service center-based child care, which includes traditional center-based child care and early education services. Other services provided by the company include in-home child and elder care, and Others.
77GF Score
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