Encompass Health Corporation $EHC Shares Sold by Algert Global LLC

Key Points

• Algert Global reduced its Encompass Health stake by 47.1% in the second quarter, selling 47,280 shares and retaining 53,185 shares worth approximately $5.4 million. Institutional investors collectively own 97.25% of the company.
• Encompass Health beat quarterly expectations with $1.55 in EPS versus the $1.48 consensus and $1.60 billion in revenue, up 9.6% year over year. The company also raised its quarterly dividend from $0.19 to $0.21 per share.
• Analyst sentiment remains positive, with a consensus “Buy” rating and an average price target of $148.71, although CEO Mark J. Tarr and EVP John Patrick Darby recently sold substantial portions of their holdings.

Algert Global LLC cut its position in Encompass Health Corporation (NYSE:EHC - Free Report) by 47.1% in the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 53,185 shares of the company's stock after selling 47,280 shares during the quarter. Algert Global LLC owned 0.05% of Encompass Health worth $5,376,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors have also recently made changes to their positions in EHC. BlackRock Inc. acquired a new position in shares of Encompass Health in the second quarter worth $1,059,762,000. Northwestern Mutual Wealth Management Co. boosted its stake in shares of Encompass Health by 3,059,159.7% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 3,793,482 shares of the company's stock valued at $402,640,000 after buying an additional 3,793,358 shares during the period. Norges Bank acquired a new position in shares of Encompass Health during the fourth quarter worth about $133,221,000. William Blair Investment Management LLC purchased a new stake in shares of Encompass Health during the second quarter worth approximately $116,352,000. Finally, Price T Rowe Associates Inc. MD raised its holdings in Encompass Health by 24.6% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 4,805,413 shares of the company's stock valued at $510,047,000 after acquiring an additional 948,202 shares in the last quarter. Institutional investors and hedge funds own 97.25% of the company's stock.

Insider Transactions at Encompass Health

In other Encompass Health news, CEO Mark J. Tarr sold 173,148 shares of the company's stock in a transaction that occurred on Monday, August 10th. The stock was sold at an average price of $125.47, for a total value of $21,724,879.56. Following the completion of the transaction, the chief executive officer owned 267,814 shares in the company, valued at $33,602,622.58. This represents a 39.27% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP John Patrick Darby sold 8,906 shares of Encompass Health stock in a transaction on Monday, August 10th. The stock was sold at an average price of $125.95, for a total transaction of $1,121,710.70. Following the sale, the executive vice president directly owned 75,041 shares in the company, valued at $9,451,413.95. This trade represents a 10.61% decrease in their position. The SEC filing for this sale provides additional information. 1.80% of the stock is currently owned by company insiders.

More Encompass Health News

Here are the key news stories impacting Encompass Health this week:

• Positive Sentiment: Zacks raised its FY2026 EPS forecast to $6.03 from $5.96, increased FY2027 EPS to $6.42 from $6.35, and lifted FY2028 EPS to $7.18 from $7.16. The revisions indicate analysts continue to expect earnings growth over the next several years. Encompass Health analyst estimates
• Positive Sentiment: Quarterly estimates were also raised for Q1 2027, to $1.65 EPS from $1.63; Q2 2027, to $1.64 from $1.60; Q3 2027, to $1.49 from $1.48; and Q2 2028, to $1.87 from $1.84. These increases modestly improve the longer-term earnings outlook.
• Neutral Sentiment: Zacks’ FY2026 forecast of $6.03 remains slightly below the broader analyst consensus of approximately $6.08-$6.09 per share. This indicates that the revisions are constructive overall but do not represent a major upside surprise.
• Negative Sentiment: Zacks reduced its Q3 2026 EPS estimate to $1.35 from $1.36, Q4 2026 EPS to $1.53 from $1.55, and Q1 2028 EPS to $1.77 from $1.80. Lower near-term estimates could weigh on the stock because they point to slightly softer earnings momentum in upcoming reporting periods.

Encompass Health Stock Down 1.0%

Shares of NYSE EHC opened at $119.58 on Friday. Encompass Health Corporation has a 12-month low of $92.77 and a 12-month high of $127.99. The company has a debt-to-equity ratio of 0.76, a current ratio of 1.19 and a quick ratio of 1.19. The firm's 50-day moving average is $112.74 and its two-hundred day moving average is $107.08. The company has a market capitalization of $11.80 billion, a PE ratio of 19.48, a price-to-earnings-growth ratio of 2.45 and a beta of 0.72.

Encompass Health (NYSE:EHC - Get Free Report) last announced its earnings results on Wednesday, August 5th. The company reported $1.55 earnings per share for the quarter, beating the consensus estimate of $1.48 by $0.07. Encompass Health had a net margin of 10.01% and a return on equity of 18.08%. The firm had revenue of $1.60 billion during the quarter, compared to the consensus estimate of $1.57 billion. During the same quarter in the previous year, the company posted $1.40 EPS. The firm's revenue for the quarter was up 9.6% on a year-over-year basis. Encompass Health has set its FY 2026 guidance at 6.020-6.250 EPS. Equities analysts anticipate that Encompass Health Corporation will post 6.08 EPS for the current fiscal year.

Encompass Health Increases Dividend

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

Analysts Set New Price Targets

EHC has been the subject of several analyst reports. Leerink Partners set a $152.00 price target on shares of Encompass Health in a report on Friday, May 22nd. Weiss Ratings upgraded Encompass Health from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Wednesday, August 12th. UBS Group lifted their price objective on shares of Encompass Health from $150.00 to $155.00 and gave the company a "buy" rating in a research note on Friday, August 7th. Truist Financial boosted their target price on Encompass Health from $140.00 to $150.00 and gave the company a "buy" rating in a report on Friday, August 7th. Finally, Wall Street Zen upgraded Encompass Health from a "hold" rating to a "buy" rating in a research note on Sunday, August 16th. One equities research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of "Buy" and an average 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.

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