Farallon Capital Management LLC Cuts Stock Holdings in Encompass Health Corporation $EHC

Farallon Capital Management LLC reduced its stake in shares of Encompass Health Corporation (NYSE:EHC) by 19.4% during the third quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 571,000 shares of the company’s stock after selling 137,000 shares during the quarter. Farallon Capital Management LLC owned 0.57% of Encompass Health worth $72,528,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors also recently modified their holdings of the stock. Alliancebernstein L.P. grew its position in Encompass Health by 23.4% during the 3rd quarter. Alliancebernstein L.P. now owns 2,515,878 shares of the company’s stock worth $319,567,000 after acquiring an additional 476,564 shares during the last quarter. Geode Capital Management LLC lifted its position in Encompass Health by 0.5% in the second quarter. Geode Capital Management LLC now owns 1,773,547 shares of the company’s stock valued at $217,526,000 after purchasing an additional 8,765 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in shares of Encompass Health by 0.5% during the third quarter. Dimensional Fund Advisors LP now owns 1,616,178 shares of the company’s stock valued at $205,279,000 after purchasing an additional 7,349 shares during the period. Raymond James Financial Inc. grew its holdings in shares of Encompass Health by 34.8% in the third quarter. Raymond James Financial Inc. now owns 1,541,336 shares of the company’s stock worth $195,780,000 after purchasing an additional 397,694 shares during the last quarter. Finally, JPMorgan Chase & Co. increased its stake in shares of Encompass Health by 5.3% in the third quarter. JPMorgan Chase & Co. now owns 1,410,335 shares of the company’s stock worth $179,141,000 after buying an additional 70,387 shares during the period. Institutional investors own 97.25% of the company’s stock.

Analyst Upgrades and Downgrades

EHC has been the subject of a number of recent analyst reports. Wall Street Zen upgraded shares of Encompass Health from a “hold” rating to a “buy” rating in a report on Sunday, January 18th. Barclays boosted their price objective on shares of Encompass Health from $150.00 to $153.00 and gave the company an “overweight” rating in a research report on Friday, February 6th. Finally, Zacks Research lowered shares of Encompass Health from a “strong-buy” rating to a “hold” rating in a report on Wednesday, November 19th. Two equities research analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of “Buy” and a consensus target price of $143.29.

Insider Transactions at Encompass Health

In other Encompass Health news, Treasurer Edmund Fay sold 11,937 shares of the company’s stock in a transaction that occurred on 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 transaction, the treasurer owned 89,325 shares in the company, valued at approximately $9,557,775. This represents a 11.79% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Mark J. Tarr sold 150,000 shares of the stock in a transaction that occurred on Wednesday, February 11th. The stock was sold at an average price of $111.64, for a total value of $16,746,000.00. Following the completion of the transaction, the chief executive officer directly owned 377,070 shares of the company’s stock, valued at $42,096,094.80. This represents a 28.46% decrease in their position. The disclosure for this sale is available in the SEC filing. 2.10% of the stock is owned by corporate insiders.

Encompass Health Stock Performance

Shares of EHC stock opened at $100.52 on Monday. The firm has a market capitalization of $9.99 billion, a price-to-earnings ratio of 18.14, a PEG ratio of 1.92 and a beta of 0.70. The stock has a fifty day moving average of $103.58 and a 200 day moving average of $112.90. Encompass Health Corporation has a 52 week low of $92.77 and a 52 week high of $127.99. The company has a quick ratio of 1.08, a current ratio of 1.08 and a debt-to-equity ratio of 0.76.

Encompass Health (NYSE:EHC) last issued its quarterly earnings data on Thursday, February 5th. The company reported $1.46 earnings per share (EPS) for the quarter, beating 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 business had revenue of $3.09 billion for the quarter, compared to the consensus estimate of $1.54 billion. During the same period in the previous year, the firm earned $1.17 EPS. The company’s quarterly revenue was up 9.9% compared to the same quarter last year. Encompass Health has set its FY 2026 guidance at 5.810-6.100 EPS. As a group, research analysts expect that Encompass Health Corporation will post 4.8 earnings per share for the current year.

Encompass Health Dividend Announcement

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

Encompass Health 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.