Encompass Health (NYSE:EHC) Issues Quarterly Earnings Results

Encompass Health (NYSE:EHC) announced its quarterly earnings results on Monday. The company reported $1.11 earnings per share for the quarter, topping the consensus estimate of $1.01 by $0.10, Briefing.com reports. Encompass Health had a return on equity of 18.01% and a net margin of 7.60%. The company had revenue of $1.30 billion for the quarter, compared to the consensus estimate of $1.30 billion. During the same period last year, the firm earned $0.95 EPS. The firm’s revenue for the quarter was up 9.6% compared to the same quarter last year. Encompass Health updated its FY24 guidance to $3.97-$4.22 EPS.

Encompass Health Price Performance

Shares of EHC opened at $89.72 on Tuesday. Encompass Health has a fifty-two week low of $57.55 and a fifty-two week high of $94.38. The company has a market capitalization of $9.03 billion, a price-to-earnings ratio of 24.25, a price-to-earnings-growth ratio of 1.45 and a beta of 0.89. The firm has a 50-day simple moving average of $86.43 and a 200-day simple moving average of $81.24. The company has a debt-to-equity ratio of 1.14, a quick ratio of 1.37 and a current ratio of 1.37.

Encompass Health Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, October 15th. Shareholders of record on Tuesday, October 1st will be paid a $0.17 dividend. This represents a $0.68 annualized dividend and a yield of 0.76%. The ex-dividend date is Tuesday, October 1st. This is an increase from Encompass Health’s previous quarterly dividend of $0.15. Encompass Health’s dividend payout ratio is currently 18.38%.

Insider Transactions at Encompass Health

In related news, insider Elissa Joy Charbonneau sold 10,000 shares of the firm’s stock in a transaction dated Friday, May 24th. The shares were sold at an average price of $85.02, for a total value of $850,200.00. Following the completion of the sale, the insider now owns 18,594 shares in the company, valued at $1,580,861.88. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. Insiders own 2.10% of the company’s stock.

Analyst Upgrades and Downgrades

EHC has been the topic of a number of analyst reports. Mizuho raised their target price on Encompass Health from $93.00 to $95.00 and gave the company a “buy” rating in a research report on Thursday, April 25th. Raymond James reiterated 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. Stephens reiterated an “overweight” rating and set a $94.00 price objective on shares of Encompass Health in a research note on Wednesday, June 5th. Royal Bank of Canada boosted their price objective on Encompass Health from $83.00 to $95.00 and gave the stock an “outperform” rating in a research note on Wednesday, May 22nd. Finally, Truist Financial boosted their price objective on Encompass Health from $95.00 to $100.00 and gave the stock a “buy” rating in a research note on Monday, July 15th. Eight research analysts have rated the stock with a buy rating and two have assigned a strong buy rating to the company. According to data from MarketBeat, Encompass Health currently has an average rating of “Buy” and a consensus price target of $98.86.

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.