Encompass Health Corporation (NYSE:EHC) Declares Dividend Increase - $0.19 Per Share

Encompass Health Corporation (NYSE:EHC - Get Free Report) announced a quarterly dividend on Thursday, July 24th, RTT News reports. Shareholders of record on Wednesday, October 1st will be given a dividend of 0.19 per share on Wednesday, October 15th. This represents a $0.76 annualized dividend and a yield of 0.71%. This is a 11.8% increase from Encompass Health's previous quarterly dividend of $0.17.

Encompass Health has a payout ratio of 12.2% meaning its dividend is sufficiently covered by earnings. Analysts expect Encompass Health to earn $5.28 per share next year, which means the company should continue to be able to cover its $0.68 annual dividend with an expected future payout ratio of 12.9%.

Encompass Health Trading Down 1.1%

Shares of EHC traded down $1.16 during midday trading on Thursday, hitting $107.62. 155,491 shares of the stock were exchanged, compared to its average volume of 801,451. Encompass Health has a 52-week low of $82.74 and a 52-week high of $123.13. The stock has a fifty day simple moving average of $118.52 and a 200 day simple moving average of $107.18. The firm has a market cap of $10.85 billion, a P/E ratio of 22.23, a P/E/G ratio of 2.20 and a beta of 0.88. The company has a debt-to-equity ratio of 0.81, a quick ratio of 1.06 and a current ratio of 1.06.

Encompass Health (NYSE:EHC - Get Free Report) last released its quarterly earnings results on Thursday, April 24th. The company reported $1.37 EPS for the quarter, topping the consensus estimate of $1.19 by $0.18. The business had revenue of $1.46 billion during the quarter, compared to analyst estimates of $1.43 billion. Encompass Health had a return on equity of 17.63% and a net margin of 8.97%. The company's quarterly revenue was up 10.6% on a year-over-year basis. During the same period last year, the business posted $1.12 earnings per share. On average, research analysts anticipate that Encompass Health will post 4.8 EPS for the current fiscal year.

Insider Activity at Encompass Health

In related news, insider Elissa Joy Charbonneau sold 4,279 shares of the company's stock in a transaction that occurred on Tuesday, May 6th. The stock was sold at an average price of $116.61, for a total value of $498,974.19. Following the sale, the insider owned 11,958 shares of the company's stock, valued at approximately $1,394,422.38. This represents a 26.35% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Mark J. Tarr sold 118,384 shares of the company's stock in a transaction that occurred on Tuesday, May 20th. The shares were sold at an average price of $121.53, for a total value of $14,387,207.52. Following the completion of the sale, the chief executive officer directly owned 527,070 shares in the company, valued at approximately $64,054,817.10. The trade was a 18.34% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 132,663 shares of company stock worth $16,034,082 in the last quarter. Company insiders own 2.00% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of EHC. Caxton Associates LLP acquired a new stake in shares of Encompass Health during the 1st quarter worth $259,000. Royal Bank of Canada increased its holdings in shares of Encompass Health by 21.5% during the 1st quarter. Royal Bank of Canada now owns 88,470 shares of the company's stock worth $8,960,000 after buying an additional 15,677 shares during the last quarter. Finally, Millennium Management LLC increased its holdings in shares of Encompass Health by 38.4% during the 1st quarter. Millennium Management LLC now owns 92,197 shares of the company's stock worth $9,338,000 after buying an additional 25,574 shares during the last quarter. 97.25% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

EHC has been the subject of a number of recent research reports. UBS Group lifted their target price on Encompass Health from $117.00 to $130.00 and gave the company a "buy" rating in a report on Monday, April 28th. Barclays lifted their price target on Encompass Health from $118.00 to $129.00 and gave the stock an "overweight" rating in a report on Friday, April 25th. Royal Bank Of Canada lifted their price target on Encompass Health from $110.00 to $125.00 and gave the stock an "outperform" rating in a report on Monday, April 28th. Truist Financial reaffirmed a "buy" rating and set a $135.00 price target (up from $116.00) on shares of Encompass Health in a report on Monday, April 28th. Finally, Wall Street Zen cut Encompass Health from a "strong-buy" rating to a "buy" rating in a research report on Friday, June 6th. Seven research analysts have rated the stock with a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, Encompass Health has a consensus rating of "Buy" and an average price target of $131.50.

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.

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