Q1 EPS Forecast for Encompass Health Reduced by Analyst

Encompass Health Co. (NYSE:EHC) – Investment analysts at William Blair reduced their Q1 2025 earnings per share estimates for Encompass Health in a report released on Friday, November 15th. William Blair analyst J. Haase now anticipates that the company will earn $1.20 per share for the quarter, down from their prior 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.

EHC has been the topic of several other research reports. Barclays upped their price objective on Encompass Health from $109.00 to $116.00 and gave the company an “overweight” rating in a research note on Tuesday, October 29th. Royal Bank of Canada raised their price objective on Encompass Health from $105.00 to $110.00 and gave the stock an “outperform” rating in a research note on Wednesday, October 30th. UBS Group boosted their target price on shares of Encompass Health from $100.00 to $110.00 and gave the company a “buy” rating in a research note on Wednesday, September 25th. Stephens reaffirmed an “overweight” rating and issued a $105.00 price target on shares of Encompass Health in a report on Tuesday, August 6th. Finally, KeyCorp increased their price objective on shares of Encompass Health from $115.00 to $117.00 and gave the stock an “overweight” rating in a research note on Tuesday, October 29th. Nine equities research analysts have rated the stock with a buy rating and two have issued a strong buy rating to the stock. According to MarketBeat, the company has an average rating of “Buy” and a consensus target price of $107.11.

Encompass Health Price Performance

EHC opened at $99.22 on Monday. The company has a debt-to-equity ratio of 0.88, a quick ratio of 1.04 and a current ratio of 1.04. Encompass Health has a 1-year low of $63.78 and a 1-year high of $104.55. The company has a 50-day moving average of $96.54 and a 200-day moving average of $90.46. The company has a market capitalization of $10.00 billion, a P/E ratio of 23.97, a PEG ratio of 1.31 and a beta of 0.88.

Encompass Health (NYSE:EHC) last released its quarterly earnings results 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 the consensus estimate of $1.33 billion. During the same quarter last year, the company earned $0.86 earnings per share. The business’s quarterly revenue was up 11.9% compared to the same quarter last year.

Encompass Health Dividend Announcement

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

Encompass Health declared that its board has approved a share buyback plan on Wednesday, July 24th that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the company to buy up to 5.4% of its stock through open market purchases. Stock buyback plans are typically a sign that the company’s board of directors believes its shares are undervalued.

Institutional Trading of Encompass Health

Large investors have recently added to or reduced their stakes in the business. Harbor Capital Advisors Inc. grew its stake 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 in the last quarter. QRG Capital Management Inc. grew its position in Encompass Health by 85.6% in 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. SG Americas Securities LLC acquired a new position in Encompass Health during the 2nd quarter valued at about $2,204,000. Los Angeles Capital Management LLC raised its position in shares of Encompass Health by 532.4% during the 3rd quarter. Los Angeles Capital Management LLC now owns 50,290 shares of the company’s stock worth $4,860,000 after buying an additional 42,338 shares in the last quarter. Finally, Kennedy Capital Management LLC lifted its stake in shares of Encompass Health by 19.6% in the 1st quarter. Kennedy Capital Management LLC now owns 99,720 shares of the company’s stock worth $8,235,000 after acquiring an additional 16,318 shares during the period. 97.25% of the stock is currently owned by institutional investors and hedge funds.

About Encompass Health

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.