Aberdeen Group plc Cuts Stake in Encompass Health Corporation $EHC

Aberdeen Group plc lowered its stake in shares of Encompass Health Corporation (NYSE:EHC) by 4.0% in the 4th quarter, according to the company in its most recent disclosure with the SEC. The firm owned 337,839 shares of the company’s stock after selling 13,992 shares during the quarter. Aberdeen Group plc owned approximately 0.34% of Encompass Health worth $35,858,000 as of its most recent SEC filing.

A number of other large investors have also added to or reduced their stakes in EHC. Citizens National Bank Trust Department bought a new position in shares of Encompass Health during the 3rd quarter valued at approximately $26,000. First Horizon Corp bought a new stake in shares of Encompass Health in the 3rd quarter worth approximately $34,000. Westside Investment Management Inc. lifted its stake in Encompass Health by 56.7% in the third quarter. Westside Investment Management Inc. now owns 279 shares of the company’s stock valued at $35,000 after purchasing an additional 101 shares during the last quarter. Assetmark Inc. grew its holdings in Encompass Health by 88.1% during the third quarter. Assetmark Inc. now owns 299 shares of the company’s stock valued at $38,000 after purchasing an additional 140 shares during the period. Finally, Root Financial Partners LLC bought a new position in Encompass Health during the third quarter valued at $39,000. Hedge funds and other institutional investors own 97.25% of the company’s stock.

Encompass Health Stock Down 0.1%

Encompass Health stock opened at $97.24 on Friday. The firm has a 50 day simple moving average of $102.36 and a 200 day simple moving average of $110.23. The company has a current ratio of 1.08, a quick ratio of 1.08 and a debt-to-equity ratio of 0.76. Encompass Health Corporation has a 1-year low of $92.77 and a 1-year high of $127.99. The firm has a market capitalization of $9.67 billion, a price-to-earnings ratio of 17.55, a P/E/G ratio of 1.87 and a beta of 0.75.

Encompass Health (NYSE:EHC) last posted its earnings results on Thursday, February 5th. The company reported $1.46 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.29 by $0.17. The firm had revenue of $3.09 billion for the quarter, compared to the consensus estimate of $1.54 billion. Encompass Health had a return on equity of 18.20% and a net margin of 9.54%.The business’s quarterly revenue was up 9.9% on a year-over-year basis. During the same quarter in the prior year, the business posted $1.17 earnings per share. Encompass Health has set its FY 2026 guidance at 5.810-6.100 EPS. On average, analysts predict that Encompass Health Corporation will post 4.8 earnings per share for the current year.

Encompass Health Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, April 15th. Shareholders of record on Wednesday, April 1st will be issued a dividend of $0.19 per share. This represents a $0.76 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date of this dividend is Wednesday, April 1st. Encompass Health’s payout ratio is presently 13.72%.

Insider Activity

In other news, CEO Mark J. Tarr sold 150,000 shares of the firm’s stock in a transaction that occurred on Wednesday, February 11th. The shares were sold at an average price of $111.64, for a total value of $16,746,000.00. Following the completion of the transaction, the chief executive officer directly owned 377,070 shares in the company, valued at approximately $42,096,094.80. This trade represents a 28.46% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Treasurer Edmund Fay sold 11,937 shares of the business’s stock in a transaction that occurred on Monday, March 9th. The shares were sold at an average price of $107.00, for a total transaction of $1,277,259.00. Following the transaction, the treasurer directly owned 89,325 shares of the company’s stock, valued at approximately $9,557,775. This represents a 11.79% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 2.00% of the company’s stock.

Wall Street Analysts Forecast Growth

EHC has been the subject of a number of recent research reports. Barclays raised their target price on Encompass Health from $150.00 to $153.00 and gave the stock an “overweight” rating in a research report on Friday, February 6th. Wall Street Zen upgraded Encompass Health from a “hold” rating to a “buy” rating in a research note on Sunday, January 18th. Two equities research analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating and one has given a Hold rating to the company. Based on data from MarketBeat.com, Encompass Health currently has an average rating of “Buy” and an average target price of $143.29.

About Encompass Health

Encompass Health Corporation is a leading provider of post‐acute healthcare services in the United States, operating a comprehensive network of inpatient rehabilitation hospitals and home health and hospice agencies. Its inpatient rehabilitation hospitals offer intensive therapy programs for patients recovering from conditions such as stroke, brain injury, spinal cord injury, cardiac and pulmonary disorders, and orthopedic procedures. Through its home health segment, Encompass Health delivers skilled nursing, physical therapy, occupational therapy and speech therapy to patients in the comfort of their homes, while its hospice services provide end‐of‐life care focused on symptom management and emotional support for patients and families.

Founded in 1984 as HealthSouth Corporation and rebranded as Encompass Health in 2018, the company has grown organically and through acquisitions to serve patients across more than 30 states.