Algert Global LLC Cuts Stake in Encompass Health Corporation $EHC

Key Points

• Algert Global LLC has reduced its stake in Encompass Health Corporation by 37.7%, now holding approximately 107,799 shares valued at nearly $10.9 million.
• Encompass Health's most recent quarterly earnings report showed an EPS of $1.40, surpassing analyst expectations and reflecting a 12.0% increase in revenue compared to the previous year.
• Analysts have been optimistic about Encompass Health, with several firms raising their target prices, resulting in a consensus target of $134.00 and a majority rating of "Buy".

Algert Global LLC cut its position in shares of Encompass Health Corporation (NYSE:EHC - Free Report) by 37.7% during the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 107,799 shares of the company's stock after selling 65,345 shares during the quarter. Algert Global LLC owned approximately 0.11% of Encompass Health worth $10,918,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also added to or reduced their stakes in the company. Caitong International Asset Management Co. Ltd raised its position in Encompass Health by 19.0% in the first quarter. Caitong International Asset Management Co. Ltd now owns 720 shares of the company's stock worth $73,000 after acquiring an additional 115 shares during the period. Arlington Trust Co LLC raised its position in Encompass Health by 22.9% in the first quarter. Arlington Trust Co LLC now owns 671 shares of the company's stock worth $68,000 after acquiring an additional 125 shares during the period. IFP Advisors Inc raised its position in Encompass Health by 5.9% in the first quarter. IFP Advisors Inc now owns 2,814 shares of the company's stock worth $285,000 after acquiring an additional 158 shares during the period. Merit Financial Group LLC raised its position in shares of Encompass Health by 4.1% in the first quarter. Merit Financial Group LLC now owns 4,220 shares of the company's stock valued at $427,000 after purchasing an additional 166 shares during the period. Finally, Sequoia Financial Advisors LLC raised its position in shares of Encompass Health by 6.7% in the first quarter. Sequoia Financial Advisors LLC now owns 2,727 shares of the company's stock valued at $276,000 after purchasing an additional 172 shares during the period. 97.25% of the stock is currently owned by hedge funds and other institutional investors.

Encompass Health Price Performance

Encompass Health stock traded down $0.5450 during midday trading on Friday, reaching $122.8850. 388,342 shares of the stock were exchanged, compared to its average volume of 814,525. The company's fifty day moving average is $116.34 and its 200-day moving average is $110.12. The company has a debt-to-equity ratio of 0.76, a quick ratio of 1.06 and a current ratio of 1.06. The firm has a market cap of $12.38 billion, a PE ratio of 24.05, a PEG ratio of 2.16 and a beta of 0.86. Encompass Health Corporation has a 52 week low of $87.85 and a 52 week high of $124.67.

Encompass Health (NYSE:EHC - Get Free Report) last released its quarterly earnings results on Monday, August 4th. The company reported $1.40 EPS for the quarter, topping analysts' consensus estimates of $1.20 by $0.20. Encompass Health had a net margin of 9.22% and a return on equity of 17.83%. 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 previous year, the company earned $1.11 EPS. The business's quarterly revenue was up 12.0% compared to the same quarter last year. Encompass Health has set its FY 2025 guidance at 5.120-5.340 EPS. On average, sell-side analysts forecast that Encompass Health Corporation will post 4.8 EPS for the current year.

Encompass Health Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, October 15th. Shareholders of record on Wednesday, October 1st will be paid a $0.19 dividend. The ex-dividend date of this dividend is Wednesday, October 1st. This represents a $0.76 dividend on an annualized basis and a yield of 0.6%. This is a boost from Encompass Health's previous quarterly dividend of $0.17. Encompass Health's dividend payout ratio is presently 13.31%.

Wall Street Analysts Forecast Growth

Several analysts have recently issued reports on EHC shares. KeyCorp boosted their price target on shares of Encompass Health from $122.00 to $135.00 and gave the company an "overweight" rating in a research report on Tuesday, May 27th. Truist Financial boosted their price target on shares of Encompass Health from $135.00 to $140.00 and gave the company a "buy" rating in a research report on Thursday, August 14th. UBS Group boosted their price target on shares of Encompass Health from $130.00 to $140.00 and gave the company a "buy" rating in a research report on Wednesday, August 6th. Barclays upped their target price on shares of Encompass Health from $118.00 to $129.00 and gave the stock an "overweight" rating in a report on Friday, April 25th. Finally, Royal Bank Of Canada upped their target price on shares of Encompass Health from $110.00 to $125.00 and gave the stock an "outperform" rating in a report on Monday, April 28th. One investment analyst has rated the stock with a Strong Buy rating and six have issued a Buy rating to the company's stock. Based on data from MarketBeat, Encompass Health has an average rating of "Buy" and a consensus price target of $134.00.

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.