Encompass Health (NYSE:EHC) Coverage Initiated at KeyCorp

Stock analysts at KeyCorp initiated coverage on shares of Encompass Health (NYSE:EHC) in a note issued to investors on Friday, MarketBeat reports. The brokerage set an “overweight” rating and a $115.00 price target on the stock. KeyCorp’s target price would suggest a potential upside of 19.83% from the company’s current price. KeyCorp also issued estimates for Encompass Health’s FY2024 earnings at $4.18 EPS, FY2025 earnings at $4.71 EPS and FY2026 earnings at $5.30 EPS.

EHC has been the subject of several other research reports. Stephens reaffirmed an “overweight” rating and set a $105.00 price target on shares of Encompass Health in a research report on Tuesday, August 6th. Leerink Partners initiated coverage on Encompass Health in a report on Wednesday, July 10th. They issued an “outperform” rating and a $100.00 target price on the stock. UBS Group upped their price target on Encompass Health from $100.00 to $110.00 and gave the stock a “buy” rating in a research note on Wednesday, September 25th. Truist Financial lifted their price objective on Encompass Health from $100.00 to $104.00 and gave the company a “buy” rating in a research note on Thursday, August 15th. Finally, Royal Bank of Canada raised their price target on shares of Encompass Health from $95.00 to $105.00 and gave the company an “outperform” rating in a report on Thursday, September 26th. Eight analysts have rated the stock with a buy rating and three have given a strong buy rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Buy” and an average price target of $104.22.

Encompass Health Stock Up 2.6 %

Shares of NYSE EHC opened at $95.97 on Friday. The firm has a market cap of $9.66 billion, a P/E ratio of 24.48, a price-to-earnings-growth ratio of 1.43 and a beta of 0.88. The company has a debt-to-equity ratio of 1.08, a quick ratio of 1.35 and a current ratio of 1.35. Encompass Health has a 1 year low of $57.55 and a 1 year high of $97.56. The firm’s 50 day moving average price is $91.81 and its 200 day moving average price is $87.28.

Encompass Health (NYSE:EHC) last announced its quarterly earnings data on Monday, August 5th. The company reported $1.11 EPS for the quarter, beating analysts’ consensus estimates of $1.01 by $0.10. Encompass Health had a return on equity of 17.83% and a net margin of 7.88%. The business had revenue of $1.30 billion during the quarter, compared to the consensus estimate of $1.30 billion. During the same quarter in the previous year, the business earned $0.95 earnings per share. The business’s revenue for the quarter was up 9.6% on a year-over-year basis. As a group, sell-side analysts anticipate that Encompass Health will post 4.18 earnings per share for the current year.

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

Insider Activity

In related news, CFO Douglas E. Coltharp sold 12,260 shares of Encompass Health stock in a transaction on Tuesday, August 13th. The shares were sold at an average price of $86.34, for a total value of $1,058,528.40. Following the completion of the sale, the chief financial officer now owns 136,227 shares in the company, valued at approximately $11,761,839.18. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 2.10% of the company’s stock.

Institutional Trading of Encompass Health

Several hedge funds and other institutional investors have recently bought and sold shares of EHC. Vanguard Group Inc. increased its holdings in shares of Encompass Health by 1.7% in the 1st quarter. Vanguard Group Inc. now owns 10,166,147 shares of the company’s stock valued at $839,520,000 after acquiring an additional 169,113 shares during the last quarter. Wellington Management Group LLP raised its holdings in shares of Encompass Health by 5.8% during the fourth quarter. Wellington Management Group LLP now owns 8,215,770 shares of the company’s stock worth $548,156,000 after purchasing an additional 449,230 shares during the period. TD Asset Management Inc lifted its position in shares of Encompass Health by 16.0% in the 1st quarter. TD Asset Management Inc now owns 2,283,674 shares of the company’s stock worth $188,586,000 after buying an additional 314,488 shares during the last quarter. Dimensional Fund Advisors LP boosted its holdings in shares of Encompass Health by 1.2% in the 2nd quarter. Dimensional Fund Advisors LP now owns 1,819,345 shares of the company’s stock valued at $156,083,000 after buying an additional 22,311 shares during the period. Finally, Epoch Investment Partners Inc. grew its position in shares of Encompass Health by 14.2% during the 1st quarter. Epoch Investment Partners Inc. now owns 1,598,042 shares of the company’s stock valued at $131,966,000 after buying an additional 198,701 shares during 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.