Encompass Health Co. (NYSE:EHC) Short Interest Update

Encompass Health Co. (NYSE:EHC) was the recipient of a significant decline in short interest in the month of September. As of September 15th, there was short interest totalling 1,160,000 shares, a decline of 10.1% from the August 31st total of 1,290,000 shares. Based on an average daily volume of 643,300 shares, the days-to-cover ratio is currently 1.8 days. Approximately 1.2% of the company’s shares are short sold.

Insider Activity at Encompass Health

In other Encompass Health news, CFO Douglas E. Coltharp sold 12,260 shares of the business’s stock in a transaction dated Tuesday, August 13th. The stock was sold at an average price of $86.34, for a total value of $1,058,528.40. Following the completion of the transaction, the chief financial officer now directly owns 136,227 shares of the company’s stock, valued at $11,761,839.18. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Corporate insiders own 2.10% of the company’s stock.

Hedge Funds Weigh In On Encompass Health

Several hedge funds and other institutional investors have recently bought and sold shares of EHC. Trillium Asset Management LLC purchased a new stake in shares of Encompass Health in the 1st quarter worth $4,432,000. TD Asset Management Inc lifted its holdings in Encompass Health by 16.0% during the first quarter. TD Asset Management Inc now owns 2,283,674 shares of the company’s stock valued at $188,586,000 after purchasing an additional 314,488 shares in the last quarter. Harbor Capital Advisors Inc. boosted its position in shares of Encompass Health by 275.7% in the second quarter. Harbor Capital Advisors Inc. now owns 35,799 shares of the company’s stock worth $3,071,000 after purchasing an additional 26,270 shares during the period. Epoch Investment Partners Inc. raised its position in shares of Encompass Health by 102.9% during the 4th quarter. Epoch Investment Partners Inc. now owns 1,399,341 shares of the company’s stock valued at $93,364,000 after purchasing an additional 709,593 shares during the period. Finally, QRG Capital Management Inc. lifted its stake in shares of Encompass Health by 85.6% during the 2nd quarter. QRG Capital Management Inc. now owns 14,365 shares of the company’s stock valued at $1,232,000 after buying an additional 6,627 shares in the last quarter. Institutional investors own 97.25% of the company’s stock.

Encompass Health Price Performance

EHC stock traded down $1.16 during midday trading on Friday, reaching $96.01. The company had a trading volume of 793,465 shares, compared to its average volume of 641,739. The firm has a 50-day moving average price of $91.00 and a 200-day moving average price of $86.05. The company has a debt-to-equity ratio of 1.08, a current ratio of 1.35 and a quick ratio of 1.35. The company has a market capitalization of $9.67 billion, a P/E ratio of 25.95, a P/E/G ratio of 1.41 and a beta of 0.88. Encompass Health has a 1 year low of $57.55 and a 1 year high of $97.56.

Encompass Health (NYSE:EHC) last released its quarterly earnings data on Monday, August 5th. The company reported $1.11 EPS for the quarter, topping the consensus estimate of $1.01 by $0.10. 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 17.83% and a net margin of 7.88%. The company’s quarterly revenue was up 9.6% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.95 earnings per share. On average, research analysts anticipate that Encompass Health will post 4.18 earnings per share for the current fiscal year.

Encompass Health Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, October 15th. Stockholders of record on Tuesday, October 1st will be given a $0.17 dividend. This is a boost from Encompass Health’s previous quarterly dividend of $0.15. This represents a $0.68 dividend on an annualized basis and a dividend yield of 0.71%. The ex-dividend date of this dividend is Tuesday, October 1st. Encompass Health’s payout ratio is currently 18.38%.

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

Analyst Ratings Changes

EHC has been the topic of several research reports. Truist Financial raised their price target on shares of Encompass Health from $100.00 to $104.00 and gave the stock a “buy” rating in a research report on Thursday, August 15th. UBS Group boosted their price target on Encompass Health from $100.00 to $110.00 and gave the company a “buy” rating in a research note on Wednesday. Stephens restated an “overweight” rating and set a $105.00 price objective on shares of Encompass Health in a research note on Tuesday, August 6th. Leerink Partners initiated coverage on Encompass Health in a research report on Wednesday, July 10th. They set an “outperform” rating and a $100.00 target price for the company. Finally, Royal Bank of Canada boosted their price target on Encompass Health from $95.00 to $105.00 and gave the company an “outperform” rating in a research note on Thursday. Nine analysts have rated the stock with a buy rating and two have assigned a strong buy rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Buy” and an average target price of $102.88.

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.