Encompass Health (NYSE:EHC) Announces Earnings Results

Encompass Health (NYSE:EHC) released its quarterly earnings results on Thursday. The company reported $1.46 earnings per share for the quarter, beating the consensus estimate of $1.29 by $0.17, FiscalAI reports. Encompass Health had a net margin of 9.33% and a return on equity of 17.84%. The company had revenue of $1.54 billion during the quarter, compared to analysts’ expectations of $1.54 billion. Encompass Health updated its FY 2026 guidance to 5.810-6.100 EPS.

Encompass Health Stock Performance

EHC stock traded up $3.88 during trading hours on Thursday, reaching $99.54. The stock had a trading volume of 2,794,739 shares, compared to its average volume of 1,297,216. The stock has a market capitalization of $10.02 billion, a PE ratio of 18.82, a price-to-earnings-growth ratio of 1.52 and a beta of 0.73. The stock has a 50-day simple moving average of $104.81 and a 200 day simple moving average of $114.55. Encompass Health has a fifty-two week low of $92.53 and a fifty-two week high of $127.99. The company has a debt-to-equity ratio of 0.76, a current ratio of 1.14 and a quick ratio of 1.14.

Hedge Funds Weigh In On Encompass Health

A number of institutional investors have recently bought and sold shares of EHC. Certuity LLC grew its stake in Encompass Health by 22.4% in the 3rd quarter. Certuity LLC now owns 2,303 shares of the company’s stock valued at $292,000 after buying an additional 422 shares during the last quarter. Cresset Asset Management LLC acquired a new position in shares of Encompass Health in the third quarter valued at approximately $383,000. Evergreen Capital Management LLC bought a new position in shares of Encompass Health during the second quarter worth approximately $239,000. Vident Advisory LLC bought a new stake in Encompass Health in the 2nd quarter valued at $336,000. Finally, EP Wealth Advisors LLC increased its position in Encompass Health by 2.4% during the 2nd quarter. EP Wealth Advisors LLC now owns 3,694 shares of the company’s stock worth $453,000 after buying an additional 88 shares during the period. Institutional investors and hedge funds own 97.25% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on EHC. Wall Street Zen upgraded Encompass Health from a “hold” rating to a “buy” rating in a report on Sunday, January 18th. Barclays upped their price objective on Encompass Health from $141.00 to $150.00 and gave the stock an “overweight” rating in a research report on Thursday, October 30th. Zacks Research lowered Encompass Health from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, November 19th. Weiss Ratings reaffirmed a “buy (b+)” rating on shares of Encompass Health in a research report on Wednesday, October 8th. Finally, Raymond James Financial upgraded shares of Encompass Health to a “strong-buy” rating in a report on Friday, October 31st. Two analysts have rated the stock with a Strong Buy rating, eight have issued a Buy rating and one has issued a Hold rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Buy” and a consensus target price of $142.86.

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.