CapWealth Advisors LLC Acquires New Position in Encompass Health Co. (NYSE:EHC)

CapWealth Advisors LLC bought a new position in shares of Encompass Health Co. (NYSE:EHC) in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund bought 2,978 shares of the company’s stock, valued at approximately $246,000.

Several other institutional investors and hedge funds also recently made changes to their positions in EHC. Legacy Wealth Asset Management LLC boosted its stake in Encompass Health by 1.5% during the 1st quarter. Legacy Wealth Asset Management LLC now owns 8,619 shares of the company’s stock worth $712,000 after acquiring an additional 130 shares during the last quarter. Smith Group Asset Management LLC raised its stake in Encompass Health by 1.2% during the 1st quarter. Smith Group Asset Management LLC now owns 12,070 shares of the company’s stock worth $997,000 after buying an additional 140 shares during the period. Benjamin Edwards Inc. raised its holdings in shares of Encompass Health by 3.8% in the fourth quarter. Benjamin Edwards Inc. now owns 3,885 shares of the company’s stock valued at $259,000 after purchasing an additional 142 shares during the last quarter. Horrell Capital Management Inc. boosted its holdings in Encompass Health by 0.5% during the first quarter. Horrell Capital Management Inc. now owns 29,371 shares of the company’s stock worth $2,425,000 after purchasing an additional 147 shares during the last quarter. Finally, GAMMA Investing LLC increased its stake in Encompass Health by 31.9% in the 1st quarter. GAMMA Investing LLC now owns 616 shares of the company’s stock valued at $51,000 after buying an additional 149 shares during the last quarter. Institutional investors own 97.25% of the company’s stock.

Wall Street Analyst Weigh In

A number of analysts recently issued reports on EHC shares. Royal Bank of Canada lifted their target price on Encompass Health from $83.00 to $95.00 and gave the company an “outperform” rating in a research report on Wednesday, May 22nd. Barclays upped their price objective on Encompass Health from $101.00 to $108.00 and gave the stock an “overweight” rating in a research note on Thursday, April 25th. Mizuho raised their target price on shares of Encompass Health from $93.00 to $95.00 and gave the company a “buy” rating in a research note on Thursday, April 25th. Stephens reaffirmed an “overweight” rating and set a $94.00 price target on shares of Encompass Health in a research report on Wednesday, June 5th. Finally, Raymond James restated a “strong-buy” rating and set a $95.00 price objective (up from $85.00) on shares of Encompass Health in a research note on Friday, April 26th. Eight investment analysts have rated the stock with a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, Encompass Health has a consensus rating of “Buy” and an average price target of $93.29.

Encompass Health Stock Performance

Shares of NYSE:EHC remained flat at $83.97 on Tuesday. 412,508 shares of the company’s stock traded hands, compared to its average volume of 635,295. The stock’s fifty day moving average is $85.14 and its 200 day moving average is $78.51. The company has a current ratio of 1.37, a quick ratio of 1.37 and a debt-to-equity ratio of 1.14. The company has a market cap of $8.45 billion, a PE ratio of 22.69, a price-to-earnings-growth ratio of 1.33 and a beta of 0.89. Encompass Health Co. has a 12-month low of $57.55 and a 12-month high of $87.94.

Encompass Health (NYSE:EHC) last announced its quarterly earnings results on Wednesday, April 24th. The company reported $1.12 EPS for the quarter, beating analysts’ consensus estimates of $0.93 by $0.19. The business had revenue of $1.32 billion for the quarter, compared to analyst estimates of $1.27 billion. Encompass Health had a net margin of 7.60% and a return on equity of 18.01%. Encompass Health’s quarterly revenue was up 13.4% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.88 EPS. Sell-side analysts anticipate that Encompass Health Co. will post 4.1 earnings per share for the current fiscal year.

Encompass Health Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, July 15th. Investors of record on Monday, July 1st will be issued a dividend of $0.15 per share. The ex-dividend date of this dividend is Monday, July 1st. This represents a $0.60 annualized dividend and a yield of 0.71%. Encompass Health’s payout ratio is currently 16.22%.

Insider Activity at Encompass Health

In related news, CEO Mark J. Tarr sold 44,976 shares of the company’s stock in a transaction dated Tuesday, April 30th. The shares were sold at an average price of $83.27, for a total value of $3,745,151.52. Following the transaction, the chief executive officer now directly owns 554,098 shares in the company, valued at $46,139,740.46. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. In related news, Director Greg D. Carmichael acquired 2,000 shares of the company’s stock in a transaction on Friday, May 3rd. The stock was purchased at an average cost of $83.73 per share, with a total value of $167,460.00. Following the acquisition, the director now directly owns 17,050 shares of the company’s stock, valued at $1,427,596.50. The acquisition was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CEO Mark J. Tarr sold 44,976 shares of the company’s stock in a transaction on Tuesday, April 30th. The shares were sold at an average price of $83.27, for a total value of $3,745,151.52. Following the sale, the chief executive officer now owns 554,098 shares of the company’s stock, valued at $46,139,740.46. The disclosure for this sale can be found here. Insiders sold 69,519 shares of company stock worth $5,816,091 in the last ninety days. 2.10% of the stock is owned by company insiders.

Encompass Health 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.