Heartland Advisors Inc. Has $2.32 Million Stock Holdings in Encompass Health Corporation (NYSE:EHC)

Key Points

• Heartland Advisors Inc. has reduced its stake in Encompass Health Corporation by 11.6%, now holding 22,899 shares valued at approximately $2.3 million.
• Analysts have recently set new price targets for Encompass Health, with ratings upgraded to "strong-buy" by Stephens and a consensus target price now at $131.50.
• The company has announced a quarterly dividend increase to $0.19, marking a rise from the previous $0.17, with a payment scheduled for October 15th.

Heartland Advisors Inc. trimmed its position in Encompass Health Corporation (NYSE:EHC - Free Report) by 11.6% in the first quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 22,899 shares of the company's stock after selling 3,004 shares during the period. Heartland Advisors Inc.'s holdings in Encompass Health were worth $2,319,000 as of its most recent SEC filing.

Other institutional investors have also recently added to or reduced their stakes in the company. Colonial Trust Co SC bought a new stake in Encompass Health in the fourth quarter worth about $29,000. Transce3nd LLC purchased a new position in Encompass Health in the 4th quarter worth about $40,000. Arlington Trust Co LLC increased its stake in Encompass Health by 22.9% in the 1st quarter. Arlington Trust Co LLC now owns 671 shares of the company's stock worth $68,000 after purchasing an additional 125 shares in the last quarter. C M Bidwell & Associates Ltd. increased its stake in Encompass Health by 73.6% in the 4th quarter. C M Bidwell & Associates Ltd. now owns 750 shares of the company's stock worth $69,000 after purchasing an additional 318 shares in the last quarter. Finally, Johnson Financial Group Inc. acquired a new position in shares of Encompass Health in the 4th quarter valued at about $72,000. 97.25% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

EHC has been the subject of a number of research reports. Barclays lifted their target price on shares of Encompass Health from $118.00 to $129.00 and gave the company an "overweight" rating in a research note on Friday, April 25th. Royal Bank Of Canada boosted their price target on Encompass Health from $110.00 to $125.00 and gave the company an "outperform" rating in a research note on Monday, April 28th. KeyCorp boosted their price target on Encompass Health from $122.00 to $135.00 and gave the company an "overweight" rating in a research note on Tuesday, May 27th. UBS Group boosted their target price on Encompass Health from $117.00 to $130.00 and gave the stock a "buy" rating in a report on Monday, April 28th. Finally, Truist Financial reiterated 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. Seven analysts have rated the stock with a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Buy" and an average target price of $131.50.

Encompass Health Trading Down 0.5%

Encompass Health stock traded down $0.57 during mid-day trading on Monday, hitting $107.10. The stock had a trading volume of 754,574 shares, compared to its average volume of 804,863. The stock has a 50-day simple moving average of $117.99 and a two-hundred day simple moving average of $107.60. The stock has a market capitalization of $10.80 billion, a PE ratio of 22.13, a P/E/G ratio of 2.19 and a beta of 0.88. Encompass Health Corporation has a 12 month low of $82.74 and a 12 month high of $123.13. The company has a current ratio of 1.06, a quick ratio of 1.06 and a debt-to-equity ratio of 0.81.

Encompass Health (NYSE:EHC - Get Free Report) last posted its quarterly earnings results on Thursday, April 24th. The company reported $1.37 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.19 by $0.18. Encompass Health had a return on equity of 17.63% and a net margin of 8.97%. The business had revenue of $1.46 billion for the quarter, compared to analysts' expectations of $1.43 billion. During the same quarter last year, the business earned $1.12 earnings per share. The firm's quarterly revenue was up 10.6% compared to the same quarter last year. As a group, sell-side analysts forecast that Encompass Health Corporation will post 4.8 EPS for the current year.

Encompass Health Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 15th. Investors of record on Wednesday, October 1st will be paid a dividend of $0.19 per share. This represents a $0.76 annualized dividend and a yield of 0.71%. The ex-dividend date is Wednesday, October 1st. This is an increase from Encompass Health's previous quarterly dividend of $0.17. Encompass Health's dividend payout ratio (DPR) is presently 14.05%.

Insiders Place Their Bets

In other news, insider Elissa Joy Charbonneau sold 4,279 shares of the firm's stock in a transaction dated Tuesday, May 6th. The stock was sold at an average price of $116.61, for a total transaction of $498,974.19. Following the sale, the insider owned 11,958 shares of the company's stock, valued at $1,394,422.38. This trade represents a 26.35% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP John Patrick Darby sold 10,000 shares of the firm'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 directly owned 79,710 shares in the company, valued at approximately $9,149,910.90. This represents a 11.15% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 132,663 shares of company stock worth $16,034,082. Corporate insiders own 2.10% of the company's stock.

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.