Encompass Health (NYSE:EHC) PT Raised to $105.00

Encompass Health (NYSE:EHC) had its price objective boosted by Royal Bank of Canada from $95.00 to $105.00 in a report published on Thursday morning, Benzinga reports. The firm currently has an outperform rating on the stock.

Other research analysts have also issued reports about the company. Barclays lowered their price objective on Encompass Health from $113.00 to $109.00 and set an overweight rating for the company in a research report on Tuesday, August 6th. Stephens reiterated an overweight rating and issued a $105.00 price objective on shares of Encompass Health in a research report on Tuesday, August 6th. UBS Group raised their price target on Encompass Health from $100.00 to $110.00 and gave the stock a buy rating in a research report on Wednesday, September 25th. Truist Financial raised their price target on Encompass Health from $100.00 to $104.00 and gave the stock a buy rating in a research report on Thursday, August 15th. Finally, Leerink Partnrs upgraded Encompass Health to a strong-buy rating in a research report on Wednesday, July 10th. Nine equities research analysts have rated the stock with a buy rating and two have assigned a strong buy rating to the stock. According to MarketBeat.com, the stock currently has an average rating of Buy and a consensus target price of $102.88.

Encompass Health Price Performance

EHC stock opened at $96.01 on Thursday. The company has a debt-to-equity ratio of 1.08, a current ratio of 1.35 and a quick ratio of 1.35. The business has a 50 day simple moving average of $91.00 and a 200-day simple moving average of $86.05. The firm has a market capitalization of $9.67 billion, a PE ratio of 25.95, a price-to-earnings-growth ratio of 1.41 and a beta of 0.88. Encompass Health has a 1 year low of $57.55 and a 1 year high of $97.56.

Encompass Health (NYSE:EHC) last posted its quarterly earnings results on Monday, August 5th. The company reported $1.11 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.01 by $0.10. The business had revenue of $1.30 billion during the quarter, compared to analyst estimates of $1.30 billion. Encompass Health had a return on equity of 17.83% and a net margin of 7.88%. The business’s revenue was up 9.6% compared to the same quarter last year. During the same period in the prior year, the business earned $0.95 earnings per share. Equities research analysts anticipate that Encompass Health will post 4.18 earnings per share for the current fiscal year.

Encompass Health Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, October 15th. Stockholders of record on Tuesday, October 1st will be paid a $0.17 dividend. This is a boost from Encompass Health’s previous quarterly dividend of $0.15. This represents a $0.68 annualized dividend and a dividend yield of 0.71%. The ex-dividend date of this dividend is Tuesday, October 1st. Encompass Health’s dividend payout ratio (DPR) is presently 18.38%.

Encompass Health announced that its Board of Directors has initiated a stock repurchase plan on Wednesday, July 24th that authorizes the company to repurchase $500.00 million in outstanding shares. This repurchase authorization authorizes the company to repurchase up to 5.4% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company’s management believes its shares are undervalued.

Insider Activity

In other news, CFO Douglas E. Coltharp sold 12,260 shares of the stock in a transaction on Tuesday, August 13th. The stock was sold at an average price of $86.34, for a total value of $1,058,528.40. Following the sale, the chief financial officer now directly owns 136,227 shares in the company, valued at $11,761,839.18. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Insiders own 2.10% of the company’s stock.

Institutional Trading of Encompass Health

A number of hedge funds and other institutional investors have recently bought and sold shares of EHC. Parallel Advisors LLC raised its stake in Encompass Health by 192.3% in the fourth quarter. Parallel Advisors LLC now owns 573 shares of the company’s stock valued at $38,000 after buying an additional 377 shares in the last quarter. Oakworth Capital Inc. acquired a new stake in Encompass Health in the second quarter valued at $40,000. Benjamin F. Edwards & Company Inc. raised its stake in Encompass Health by 58.9% in the second quarter. Benjamin F. Edwards & Company Inc. now owns 534 shares of the company’s stock valued at $46,000 after buying an additional 198 shares in the last quarter. GAMMA Investing LLC raised its stake in Encompass Health by 31.9% in the first quarter. GAMMA Investing LLC now owns 616 shares of the company’s stock valued at $51,000 after buying an additional 149 shares in the last quarter. Finally, Point72 Asia Singapore Pte. Ltd. acquired a new stake in Encompass Health in the second quarter valued at $58,000. 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.