Encompass Health (NYSE:EHC) Hits New 12-Month High - Still a Buy?

Encompass Health Co. (NYSE:EHC - Get Free Report) hit a new 52-week high on Thursday . The stock traded as high as $123.13 and last traded at $121.26, with a volume of 573478 shares changing hands. The stock had previously closed at $121.51.

Analyst Ratings Changes

EHC has been the subject of a number of research analyst reports. Royal Bank of Canada boosted 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. KeyCorp boosted their price target on Encompass Health from $122.00 to $135.00 and gave the stock an "overweight" rating in a report on Tuesday, May 27th. Truist Financial reissued a "buy" rating and set a $135.00 price target (up previously from $116.00) on shares of Encompass Health in a report on Monday, April 28th. Stephens reissued an "overweight" rating and set a $135.00 price target on shares of Encompass Health in a report on Thursday. Finally, Wall Street Zen cut Encompass Health from a "strong-buy" rating to a "buy" rating in a report on Friday. Nine equities research analysts have rated the stock with a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, the company has a consensus rating of "Buy" and an average target price of $127.00.

Encompass Health Trading Up 0.2%

The business has a fifty day simple moving average of $111.96 and a 200-day simple moving average of $102.79. The company has a debt-to-equity ratio of 0.84, a quick ratio of 1.04 and a current ratio of 1.05. The firm has a market cap of $12.25 billion, a price-to-earnings ratio of 27.26, a PEG ratio of 2.31 and a beta of 0.89.

Encompass Health (NYSE:EHC - Get Free Report) last issued its earnings results on Thursday, April 24th. The company reported $1.37 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.19 by $0.18. Encompass Health had a return on equity of 17.56% and a net margin of 8.48%. The business had revenue of $1.46 billion during the quarter, compared to analysts' expectations of $1.43 billion. During the same quarter in the prior year, the firm earned $1.12 EPS. The business's revenue for the quarter was up 10.6% compared to the same quarter last year. As a group, equities analysts forecast that Encompass Health Co. will post 4.8 earnings per share for the current fiscal year.

Encompass Health Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, July 15th. Shareholders of record on Tuesday, July 1st will be issued a $0.17 dividend. The ex-dividend date of this dividend is Tuesday, July 1st. This represents a $0.68 dividend on an annualized basis and a yield of 0.56%. Encompass Health's payout ratio is presently 14.05%.

Insiders Place Their Bets

In other Encompass Health news, EVP John Patrick Darby sold 10,000 shares of the company's stock in a transaction dated Tuesday, April 29th. The stock was sold at an average price of $114.79, for a total value of $1,147,900.00. Following the sale, the executive vice president now owns 79,710 shares in the company, valued at approximately $9,149,910.90. The trade was a 11.15% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, CEO Mark J. Tarr sold 118,384 shares of the company's stock in a transaction dated 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 now owns 527,070 shares in the company, valued at $64,054,817.10. This trade represents a 18.34% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 132,663 shares of company stock valued at $16,034,082 in the last 90 days. Corporate insiders own 2.10% of the company's stock.

Institutional Investors Weigh In On Encompass Health

A number of institutional investors have recently made changes to their positions in EHC. Sumitomo Mitsui Trust Group Inc. grew its position in shares of Encompass Health by 0.4% in the 4th quarter. Sumitomo Mitsui Trust Group Inc. now owns 769,716 shares of the company's stock valued at $71,083,000 after buying an additional 2,904 shares during the last quarter. Fairvoy Private Wealth LLC bought a new stake in shares of Encompass Health during the 4th quarter valued at about $208,000. Lecap Asset Management Ltd. bought a new stake in shares of Encompass Health during the 4th quarter valued at about $1,314,000. Apollon Wealth Management LLC boosted its position in shares of Encompass Health by 7.3% during the 4th quarter. Apollon Wealth Management LLC now owns 2,856 shares of the company's stock valued at $264,000 after purchasing an additional 194 shares in the last quarter. Finally, Lightrock Netherlands B.V. bought a new stake in shares of Encompass Health during the 4th quarter valued at about $7,196,000. Institutional investors own 97.25% of the company's stock.

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.