Encompass Health Corporation (NYSE:EHC) Receives $143.29 Average PT from Analysts

Encompass Health Corporation (NYSE:EHC) has earned a consensus rating of “Buy” from the ten ratings firms that are covering the stock, Marketbeat.com reports. One equities research analyst has rated the stock with a hold recommendation, seven have issued a buy recommendation and two have issued a strong buy recommendation on the company. The average 1 year price target among brokerages that have updated their coverage on the stock in the last year is $143.2857.

EHC has been the subject of several analyst reports. Wall Street Zen raised shares of Encompass Health from a “hold” rating to a “buy” rating in a report on Sunday, January 18th. Barclays increased their target price on Encompass Health from $150.00 to $153.00 and gave the stock an “overweight” rating in a research report on Friday, February 6th.

Encompass Health Trading Down 0.0%

Shares of Encompass Health stock opened at $97.73 on Thursday. The stock has a market capitalization of $9.72 billion, a P/E ratio of 17.64, a P/E/G ratio of 1.87 and a beta of 0.71. Encompass Health has a 52-week low of $92.77 and a 52-week high of $127.99. The company has a debt-to-equity ratio of 0.76, a quick ratio of 1.08 and a current ratio of 1.08. The stock’s 50-day simple moving average is $102.57 and its 200 day simple moving average is $111.21.

Encompass Health (NYSE:EHC) last issued its earnings results on Thursday, February 5th. The company reported $1.46 earnings per share for the quarter, topping analysts’ consensus estimates of $1.29 by $0.17. Encompass Health had a net margin of 9.54% and a return on equity of 18.20%. The firm had revenue of $3.09 billion during the quarter, compared to analyst estimates of $1.54 billion. During the same quarter last year, the business earned $1.17 earnings per share. The company’s quarterly revenue was up 9.9% on a year-over-year basis. Encompass Health has set its FY 2026 guidance at 5.810-6.100 EPS. As a group, research analysts anticipate that Encompass Health will post 4.8 EPS for the current year.

Encompass Health Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 15th. Investors of record on Wednesday, April 1st will be paid a dividend of $0.19 per share. This represents a $0.76 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date is Wednesday, April 1st. Encompass Health’s payout ratio is presently 13.72%.

Insider Transactions at Encompass Health

In other news, Treasurer Edmund Fay sold 11,937 shares of the company’s stock in a transaction dated Monday, March 9th. The stock was sold at an average price of $107.00, for a total transaction of $1,277,259.00. Following the sale, the treasurer directly owned 89,325 shares in the company, valued at $9,557,775. This represents a 11.79% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CEO Mark J. Tarr sold 150,000 shares of the stock in a transaction dated Wednesday, February 11th. The stock was sold at an average price of $111.64, for a total transaction of $16,746,000.00. Following the completion of the sale, the chief executive officer directly owned 377,070 shares in the company, valued at approximately $42,096,094.80. The trade was a 28.46% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Corporate insiders own 2.00% of the company’s stock.

Hedge Funds Weigh In On Encompass Health

Several hedge funds have recently bought and sold shares of the company. Citizens National Bank Trust Department bought a new position in Encompass Health in the 3rd quarter valued at $26,000. First Horizon Corp bought a new position in shares of Encompass Health in the third quarter worth $34,000. WPG Advisers LLC raised its position in shares of Encompass Health by 73.3% in the fourth quarter. WPG Advisers LLC now owns 324 shares of the company’s stock worth $34,000 after buying an additional 137 shares in the last quarter. Westside Investment Management Inc. boosted its stake in Encompass Health by 56.7% during the third quarter. Westside Investment Management Inc. now owns 279 shares of the company’s stock valued at $35,000 after buying an additional 101 shares during the period. Finally, Flagship Harbor Advisors LLC bought a new stake in Encompass Health during the fourth quarter valued at $37,000. Hedge funds and other institutional investors own 97.25% of the company’s stock.

Encompass Health Company Profile

Encompass Health Corporation is a leading provider of post‐acute healthcare services in the United States, operating a comprehensive network of inpatient rehabilitation hospitals and home health and hospice agencies. Its inpatient rehabilitation hospitals offer intensive therapy programs for patients recovering from conditions such as stroke, brain injury, spinal cord injury, cardiac and pulmonary disorders, and orthopedic procedures. Through its home health segment, Encompass Health delivers skilled nursing, physical therapy, occupational therapy and speech therapy to patients in the comfort of their homes, while its hospice services provide end‐of‐life care focused on symptom management and emotional support for patients and families.

Founded in 1984 as HealthSouth Corporation and rebranded as Encompass Health in 2018, the company has grown organically and through acquisitions to serve patients across more than 30 states.