Encompass Health (NYSE:EHC) EVP John Patrick Darby Sells 8,906 Shares

Key Points

• Insider sale: EVP John Patrick Darby sold 8,906 Encompass Health shares at an average price of $125.95, generating approximately $1.12 million. He retained 75,041 shares after the transaction.
• Strong quarterly results: Encompass Health reported quarterly EPS of $1.55, exceeding estimates of $1.48, while revenue rose 9.6% year over year to $1.60 billion.
• Dividend and analyst outlook: The company raised its quarterly dividend to $0.21 per share, and analysts maintain a consensus “Moderate Buy” rating with an average price target of $148.71.

Encompass Health Corporation (NYSE:EHC - Get Free Report) EVP John Patrick Darby sold 8,906 shares of Encompass Health stock in a transaction that occurred on Monday, August 10th. The shares were sold at an average price of $125.95, for a total transaction of $1,121,710.70. Following the sale, the executive vice president owned 75,041 shares of the company's stock, valued at approximately $9,451,413.95. The trade was a 10.61% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link.

Encompass Health Price Performance

Shares of EHC stock traded down $1.50 during mid-day trading on Tuesday, hitting $124.31. 572,895 shares of the stock were exchanged, compared to its average volume of 1,080,474. The company has a quick ratio of 1.17, a current ratio of 1.19 and a debt-to-equity ratio of 0.76. The company has a market cap of $12.33 billion, a PE ratio of 20.28, a price-to-earnings-growth ratio of 2.52 and a beta of 0.72. The firm has a fifty day moving average of $107.37 and a 200 day moving average of $104.81. Encompass Health Corporation has a 52-week low of $92.77 and a 52-week high of $127.99.

Encompass Health (NYSE:EHC - Get Free Report) last issued its quarterly earnings results on Wednesday, August 5th. The company reported $1.55 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.48 by $0.07. The firm had revenue of $1.60 billion for the quarter, compared to analyst estimates of $1.57 billion. Encompass Health had a return on equity of 18.08% and a net margin of 10.01%.The business's revenue was up 9.6% on a year-over-year basis. During the same period in the previous year, the company posted $1.40 earnings per share. Encompass Health has set its FY 2026 guidance at 6.020-6.250 EPS. Research analysts anticipate that Encompass Health Corporation will post 6.07 earnings per share for the current year.

Encompass Health Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 15th. Shareholders of record on Thursday, October 1st will be given a $0.21 dividend. The ex-dividend date of this dividend is Thursday, October 1st. This represents a $0.84 annualized dividend and a yield of 0.7%. This is an increase from Encompass Health's previous quarterly dividend of $0.19. Encompass Health's dividend payout ratio is presently 12.38%.

Institutional Investors Weigh In On Encompass Health

A number of institutional investors have recently bought and sold shares of EHC. WPG Advisers LLC boosted its holdings in Encompass Health by 73.3% in the fourth quarter. WPG Advisers LLC now owns 324 shares of the company's stock valued at $34,000 after acquiring an additional 137 shares during the last quarter. Persistent Asset Partners Ltd acquired a new position in shares of Encompass Health during the second quarter worth about $36,000. Flagship Harbor Advisors LLC acquired a new position in Encompass Health during the 4th quarter worth approximately $37,000. Assetmark Inc. raised its stake in shares of Encompass Health by 89.6% during the first quarter. Assetmark Inc. now owns 455 shares of the company's stock valued at $44,000 after purchasing an additional 215 shares during the period. Finally, Caitong International Asset Management Co. Ltd increased its stake in Encompass Health by 36,200.0% during the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 363 shares of the company's stock worth $46,000 after buying an additional 362 shares during the period. 97.25% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several equities analysts have commented on EHC shares. Wall Street Zen lowered shares of Encompass Health from a "buy" rating to a "hold" rating in a research note on Saturday. Leerink Partners set a $152.00 price target on shares of Encompass Health in a report on Friday, May 22nd. UBS Group increased their price target on shares of Encompass Health from $150.00 to $155.00 and gave the company a "buy" rating in a report on Friday. Weiss Ratings cut Encompass Health from a "buy (b-)" rating to a "hold (c+)" rating in a report on Friday, June 26th. Finally, TD Cowen increased their price target on shares of Encompass Health from $125.00 to $140.00 and gave the company a "buy" rating in a research report on Monday. One investment analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $148.71.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source