What is Zacks Research’s Estimate for EHC FY2024 Earnings?

Encompass Health Co. (NYSE:EHC) – Equities researchers at Zacks Research increased their FY2024 earnings per share estimates for shares of Encompass Health in a report released on Monday, November 11th. Zacks Research analyst Z. Masood now expects that the company will earn $4.25 per share for the year, up from their previous forecast of $4.14. The consensus estimate for Encompass Health’s current full-year earnings is $4.29 per share. Zacks Research also issued estimates for Encompass Health’s Q1 2025 earnings at $1.25 EPS, Q2 2025 earnings at $1.22 EPS, Q3 2025 earnings at $1.14 EPS, FY2025 earnings at $4.75 EPS, Q2 2026 earnings at $1.41 EPS and Q3 2026 earnings at $1.24 EPS.

Other equities analysts have also issued reports about the stock. Barclays boosted their price target on shares of Encompass Health from $109.00 to $116.00 and gave the stock an “overweight” rating in a research report on Tuesday, October 29th. Truist Financial restated a “buy” rating and issued a $116.00 price target (up from $108.00) on shares of Encompass Health in a research report on Wednesday, October 30th. UBS Group increased their price target on Encompass Health from $100.00 to $110.00 and gave the company a “buy” rating in a report on Wednesday, September 25th. Stephens reissued an “overweight” rating and set a $105.00 price objective on shares of Encompass Health in a research note on Tuesday, August 6th. Finally, Royal Bank of Canada lifted their price target on Encompass Health from $105.00 to $110.00 and gave the stock an “outperform” rating in a report on Wednesday, October 30th. Nine investment analysts have rated the stock with a buy rating and two have given a strong buy rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Buy” and an average price target of $107.11.

Encompass Health Price Performance

Encompass Health stock opened at $102.62 on Tuesday. The company has a fifty day simple moving average of $95.71 and a 200-day simple moving average of $89.84. The firm has a market capitalization of $10.34 billion, a price-to-earnings ratio of 24.94, a PEG ratio of 1.36 and a beta of 0.88. The company has a quick ratio of 1.35, a current ratio of 1.04 and a debt-to-equity ratio of 0.88. Encompass Health has a 52-week low of $63.01 and a 52-week high of $104.55.

Encompass Health (NYSE:EHC) last issued its quarterly earnings results on Monday, October 28th. The company reported $1.03 earnings per share for the quarter, beating analysts’ consensus estimates of $0.94 by $0.09. Encompass Health had a net margin of 8.10% and a return on equity of 17.60%. The firm had revenue of $1.35 billion for the quarter, compared to analyst estimates of $1.33 billion. During the same period last year, the company posted $0.86 EPS. Encompass Health’s quarterly revenue was up 11.9% compared to the same quarter last year.

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

Encompass Health Announces Dividend

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

Institutional Investors Weigh In On Encompass Health

Several institutional investors and hedge funds have recently modified their holdings of the company. Magnetar Financial LLC lifted its holdings in Encompass Health by 1,176.6% during the 2nd quarter. Magnetar Financial LLC now owns 744,836 shares of the company’s stock worth $63,899,000 after buying an additional 814,018 shares in the last quarter. Thrivent Financial for Lutherans raised its stake in shares of Encompass Health by 2,302.7% in the second quarter. Thrivent Financial for Lutherans now owns 603,558 shares of the company’s stock valued at $51,780,000 after acquiring an additional 578,438 shares in the last quarter. Price T Rowe Associates Inc. MD boosted its holdings in Encompass Health by 614.8% in the first quarter. Price T Rowe Associates Inc. MD now owns 540,519 shares of the company’s stock valued at $44,637,000 after purchasing an additional 464,897 shares during the period. Scout Investments Inc. purchased a new stake in Encompass Health during the 1st quarter worth about $29,356,000. Finally, TD Asset Management Inc raised its position in Encompass Health by 16.0% in the 1st 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. Hedge funds and other institutional investors own 97.25% 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.