Encompass Health (NYSE:EHC) Announces Earnings Results

Encompass Health (NYSE:EHC) posted its earnings results on Monday. The company reported $1.11 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.01 by $0.10, Briefing.com reports. The firm had revenue of $1.30 billion for the quarter, compared to the consensus estimate of $1.30 billion. Encompass Health had a return on equity of 18.01% and a net margin of 7.60%. The business’s quarterly revenue was up 9.6% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.95 earnings per share. Encompass Health updated its FY24 guidance to $3.97-$4.22 EPS.

Encompass Health Price Performance

EHC stock traded up $0.27 during mid-day trading on Wednesday, hitting $84.95. 828,379 shares of the stock were exchanged, compared to its average volume of 657,662. The business has a fifty day moving average price of $86.45 and a 200 day moving average price of $81.34. Encompass Health has a 12 month low of $57.55 and a 12 month high of $94.38. The company has a debt-to-equity ratio of 1.14, a current ratio of 1.37 and a quick ratio of 1.37. The stock has a market capitalization of $8.55 billion, a price-to-earnings ratio of 22.90, a PEG ratio of 1.45 and a beta of 0.89.

Encompass Health Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, October 15th. Investors of record on Tuesday, October 1st will be paid a $0.17 dividend. This represents a $0.68 dividend on an annualized basis and a yield of 0.80%. The ex-dividend date of this dividend is Tuesday, October 1st. This is a boost from Encompass Health’s previous quarterly dividend of $0.15. Encompass Health’s dividend payout ratio is currently 18.38%.

Analyst Upgrades and Downgrades

EHC has been the subject of several analyst reports. Raymond James restated a “strong-buy” rating and issued a $95.00 target price (up previously from $85.00) on shares of Encompass Health in a research note on Friday, April 26th. Truist Financial boosted their price objective on shares of Encompass Health from $95.00 to $100.00 and gave the company a “buy” rating in a research note on Monday, July 15th. Mizuho increased their target price on shares of Encompass Health from $93.00 to $95.00 and gave the stock a “buy” rating in a research note on Thursday, April 25th. SVB Leerink started coverage on shares of Encompass Health in a research report on Wednesday, July 10th. They set an “outperform” rating and a $100.00 price target for the company. Finally, Barclays lowered their price objective on Encompass Health from $113.00 to $109.00 and set an “overweight” rating on the stock in a research report on Tuesday. Eight research analysts have rated the stock with a buy rating and two have assigned a strong buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Buy” and an average target price of $99.86.

Insider Activity

In other Encompass Health news, insider Elissa Joy Charbonneau sold 10,000 shares of the company’s stock in a transaction that occurred on Friday, May 24th. The stock was sold at an average price of $85.02, for a total value of $850,200.00. Following the completion of the sale, the insider now owns 18,594 shares of the company’s stock, valued at $1,580,861.88. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Corporate insiders own 2.10% of the company’s stock.

About Encompass Health

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.