Encompass Health Co. (NYSE:EHC) Receives $107.11 Average Price Target from Analysts

Encompass Health Co. (NYSE:EHC) has been given a consensus recommendation of “Buy” by the eleven research firms that are covering the stock, MarketBeat reports. Nine research analysts have rated the stock with a buy rating and two have given a strong buy rating to the company. The average 12 month price target among brokers that have issued ratings on the stock in the last year is $107.11.

A number of analysts have recently issued reports on EHC shares. Barclays lifted their price objective on shares of Encompass Health from $109.00 to $116.00 and gave the company an “overweight” rating in a research note on Tuesday, October 29th. Truist Financial restated a “buy” rating and set a $116.00 price objective (up from $108.00) on shares of Encompass Health in a report on Wednesday, October 30th. UBS Group lifted their price target on shares of Encompass Health from $100.00 to $110.00 and gave the stock a “buy” rating in a research note on Wednesday, September 25th. KeyCorp lifted their price target on Encompass Health from $115.00 to $117.00 and gave the stock an “overweight” rating in a research note on Tuesday, October 29th. Finally, Stephens reissued an “overweight” rating and set a $105.00 price target on shares of Encompass Health in a research report on Tuesday, August 6th.

Encompass Health Stock Performance

NYSE EHC opened at $102.69 on Monday. The firm has a market capitalization of $10.35 billion, a P/E ratio of 24.80, a P/E/G ratio of 1.36 and a beta of 0.88. The company has a debt-to-equity ratio of 0.88, a current ratio of 1.04 and a quick ratio of 1.04. Encompass Health has a 1-year low of $63.59 and a 1-year high of $104.55. The business’s 50-day simple moving average is $95.90 and its 200-day simple moving average is $89.98.

Encompass Health (NYSE:EHC) last posted its earnings results on Monday, October 28th. The company reported $1.03 earnings per share for the quarter, beating the consensus estimate of $0.94 by $0.09. Encompass Health had a net margin of 8.10% and a return on equity of 17.60%. The business had revenue of $1.35 billion for the quarter, compared to analyst estimates of $1.33 billion. During the same quarter in the previous year, the business posted $0.86 EPS. The business’s quarterly revenue was up 11.9% on a year-over-year basis. Equities analysts predict that Encompass Health will post 4.29 EPS for the current year.

Encompass Health declared that its board has approved a stock repurchase program on Wednesday, July 24th that permits the company to repurchase $500.00 million in shares. This repurchase authorization permits the company to reacquire up to 5.4% of its stock through open market purchases. Stock repurchase programs are often an indication that the company’s management believes its shares are undervalued.

Encompass Health Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, January 15th. Investors of record on Thursday, January 2nd will be given a $0.17 dividend. The ex-dividend date of this dividend is Thursday, January 2nd. This represents a $0.68 annualized dividend and a yield of 0.66%. Encompass Health’s dividend payout ratio is presently 16.43%.

Hedge Funds Weigh In On Encompass Health

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. CIBC Asset Management Inc boosted its position in Encompass Health by 3.5% during the 3rd quarter. CIBC Asset Management Inc now owns 2,957 shares of the company’s stock worth $286,000 after acquiring an additional 100 shares during the period. Commonwealth Equity Services LLC raised its position in shares of Encompass Health by 1.3% during the 2nd quarter. Commonwealth Equity Services LLC now owns 9,845 shares of the company’s stock worth $845,000 after buying an additional 123 shares in the last quarter. V Square Quantitative Management LLC raised its holdings in Encompass Health by 53.0% during the third quarter. V Square Quantitative Management LLC now owns 404 shares of the company’s stock worth $39,000 after purchasing an additional 140 shares in the last quarter. O Shaughnessy Asset Management LLC lifted its position in Encompass Health by 3.9% in the first quarter. O Shaughnessy Asset Management LLC now owns 4,246 shares of the company’s stock worth $351,000 after purchasing an additional 160 shares during the period. Finally, Verdence Capital Advisors LLC boosted its stake in Encompass Health by 4.6% during the 3rd quarter. Verdence Capital Advisors LLC now owns 3,670 shares of the company’s stock valued at $355,000 after purchasing an additional 160 shares in the last quarter. 97.25% of the stock is owned by institutional investors.

Encompass Health Company Profile

Encompass Health Corporation provides post-acute healthcare services in the United States and Puerto Rico. It owns and operates inpatient rehabilitation hospitals that provide medical, nursing, therapy, and ancillary services. The company provides specialized rehabilitative treatment on an inpatient basis to patients who have experienced physical or cognitive disabilities or injuries due to medical conditions, such as strokes, hip fractures, and various debilitating neurological conditions.