Encompass Health (NYSE:EHC) Reaches New 1-Year High After Better-Than-Expected Earnings

Shares of Encompass Health Co. (NYSE:EHC) reached a new 52-week high during mid-day trading on Thursday after the company announced better than expected quarterly earnings. The stock traded as high as $85.01 and last traded at $85.01, with a volume of 434 shares trading hands. The stock had previously closed at $82.80.

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 during 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 18.48%. The firm’s revenue for the quarter was up 13.4% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.88 earnings per share.

Encompass Health Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Monday, April 15th. Investors of record on Monday, April 1st were given a $0.15 dividend. This represents a $0.60 annualized dividend and a yield of 0.73%. The ex-dividend date was Thursday, March 28th. Encompass Health’s dividend payout ratio (DPR) is presently 16.22%.

Analyst Ratings Changes

Several analysts have recently weighed in on the stock. William Blair reaffirmed an “outperform” rating on shares of Encompass Health in a report on Wednesday, February 7th. Royal Bank of Canada reaffirmed an “outperform” rating and set a $83.00 price objective on shares of Encompass Health in a report on Friday, February 9th. Truist Financial raised their price objective on shares of Encompass Health from $82.00 to $86.00 and gave the stock a “buy” rating in a report on Friday, February 9th. Raymond James reaffirmed a “strong-buy” rating and set a $95.00 price objective (up previously from $85.00) on shares of Encompass Health in a report on Friday. Finally, Mizuho increased their price target on shares of Encompass Health from $93.00 to $95.00 and gave the company a “buy” rating in a research note on Thursday. Eight equities research analysts have rated the stock with a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Buy” and a consensus target price of $86.56.

Institutional Investors Weigh In On Encompass Health

A number of hedge funds and other institutional investors have recently made changes to their positions in EHC. International Assets Investment Management LLC acquired a new stake in Encompass Health in the 4th quarter valued at $20,210,000. Sumitomo Mitsui Trust Holdings Inc. increased its stake in Encompass Health by 2.3% in the 4th quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 1,318,784 shares of the company’s stock valued at $87,989,000 after buying an additional 29,926 shares during the last quarter. Phocas Financial Corp. increased its stake in shares of Encompass Health by 112.4% during the 4th quarter. Phocas Financial Corp. now owns 99,875 shares of the company’s stock worth $6,664,000 after purchasing an additional 52,847 shares during the last quarter. Nordea Investment Management AB increased its stake in shares of Encompass Health by 21.0% during the 4th quarter. Nordea Investment Management AB now owns 101,705 shares of the company’s stock worth $6,787,000 after purchasing an additional 17,684 shares during the last quarter. Finally, Oak Thistle LLC increased its stake in shares of Encompass Health by 19.1% during the 4th quarter. Oak Thistle LLC now owns 14,436 shares of the company’s stock worth $963,000 after purchasing an additional 2,319 shares during the last quarter. 97.25% of the stock is currently owned by institutional investors and hedge funds.

Encompass Health Stock Down 0.3 %

The company has a market capitalization of $8.26 billion, a price-to-earnings ratio of 22.29, a price-to-earnings-growth ratio of 1.53 and a beta of 0.94. The firm’s 50 day moving average price is $78.25 and its two-hundred day moving average price is $70.87. The company has a current ratio of 1.28, a quick ratio of 1.28 and a debt-to-equity ratio of 1.19.

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.