William Blair Issues Pessimistic Forecast for EHC Earnings

Encompass Health Co. (NYSE:EHC) – Analysts at William Blair dropped their Q1 2025 earnings per share estimates for Encompass Health in a report issued on Friday, November 15th. William Blair analyst J. Haase now forecasts that the company will post earnings of $1.20 per share for the quarter, down from their previous estimate of $1.29. The consensus estimate for Encompass Health’s current full-year earnings is $4.29 per share. William Blair also issued estimates for Encompass Health’s Q2 2025 earnings at $1.18 EPS.

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

Encompass Health Stock Up 0.4 %

EHC opened at $99.22 on Monday. The business’s fifty day simple moving average is $96.54 and its 200 day simple moving average is $90.46. Encompass Health has a 52 week low of $63.78 and a 52 week high of $104.55. The firm has a market cap of $10.00 billion, a P/E ratio of 23.97, a PEG ratio of 1.31 and a beta of 0.88. The company has a quick ratio of 1.04, a current ratio of 1.04 and a debt-to-equity ratio of 0.88.

Encompass Health (NYSE:EHC) last issued its quarterly earnings data on Monday, October 28th. The company reported $1.03 earnings per share for the quarter, topping 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 business had revenue of $1.35 billion during the quarter, compared to analysts’ expectations of $1.33 billion. During the same period last year, the company posted $0.86 EPS. The company’s revenue was up 11.9% on a year-over-year basis.

Encompass Health announced that its board has initiated a share repurchase plan on Wednesday, July 24th that permits the company to buyback $500.00 million in outstanding shares. This buyback authorization permits the company to reacquire up to 5.4% of its stock through open market purchases. Stock buyback plans are typically a sign that the company’s leadership believes its stock is undervalued.

Encompass Health Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, January 15th. Shareholders of record on Thursday, January 2nd will be paid a dividend of $0.17 per share. The ex-dividend date is Thursday, January 2nd. This represents a $0.68 annualized dividend and a yield of 0.69%. Encompass Health’s dividend payout ratio is currently 16.43%.

Institutional Investors Weigh In On Encompass Health

Several large investors have recently made changes to their positions in EHC. UMB Bank n.a. increased its holdings in Encompass Health by 387.7% in the 3rd quarter. UMB Bank n.a. now owns 317 shares of the company’s stock valued at $31,000 after purchasing an additional 252 shares in the last quarter. V Square Quantitative Management LLC boosted its position in shares of Encompass Health by 53.0% in the third quarter. V Square Quantitative Management LLC now owns 404 shares of the company’s stock worth $39,000 after buying an additional 140 shares during the period. Oakworth Capital Inc. acquired a new stake in shares of Encompass Health in the second quarter valued at about $40,000. Avior Wealth Management LLC purchased a new stake in shares of Encompass Health during the 3rd quarter valued at about $40,000. Finally, Benjamin F. Edwards & Company Inc. lifted its position in Encompass Health by 58.9% during the 2nd quarter. Benjamin F. Edwards & Company Inc. now owns 534 shares of the company’s stock worth $46,000 after acquiring an additional 198 shares in the last quarter. Institutional investors and hedge funds 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.