Encompass Health (NYSE:EHC) Posts Earnings Results, Beats Expectations By $0.10 EPS

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

Encompass Health Stock Up 1.1 %

EHC stock traded up $0.97 during trading on Wednesday, reaching $85.65. 168,537 shares of the company traded hands, compared to its average volume of 653,292. The company has a market capitalization of $8.62 billion, a price-to-earnings ratio of 22.90, a price-to-earnings-growth ratio of 1.45 and a beta of 0.89. The business has a 50 day simple moving average of $86.45 and a 200 day simple moving average 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 quick ratio of 1.37 and a current ratio of 1.37.

Encompass Health Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, October 15th. Shareholders of record on Tuesday, October 1st will be given a dividend of $0.17 per share. This represents a $0.68 annualized dividend and a yield of 0.79%. The ex-dividend date is Tuesday, October 1st. This is a boost from Encompass Health’s previous quarterly dividend of $0.15. Encompass Health’s dividend payout ratio (DPR) is 18.38%.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on the company. Truist Financial increased their price target on Encompass Health from $95.00 to $100.00 and gave the company a “buy” rating in a report on Monday, July 15th. Mizuho boosted their price target on Encompass Health from $93.00 to $95.00 and gave the company a “buy” rating in a research note on Thursday, April 25th. Stephens reiterated an “overweight” rating and issued a $105.00 price objective on shares of Encompass Health in a research note on Tuesday. Barclays cut their price target on Encompass Health from $113.00 to $109.00 and set an “overweight” rating for the company in a report on Tuesday. Finally, Royal Bank of Canada upped their price objective on Encompass Health from $83.00 to $95.00 and gave the stock an “outperform” rating in a report on Wednesday, May 22nd. Eight research analysts have rated the stock with a buy rating and two have given a strong buy rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Buy” and an average target price of $99.86.

Insider Activity

In related news, insider Elissa Joy Charbonneau sold 10,000 shares of the stock in a transaction that occurred on Friday, May 24th. The shares were sold at an average price of $85.02, for a total transaction 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 transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Company insiders own 2.10% of the company’s stock.

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.