Encompass Health Corporation $EHC Shares Sold by Harbor Capital Advisors Inc.

Key Points

• Harbor Capital Advisors Inc. reduced its stake in Encompass Health Corporation by 25.0%, selling 17,027 shares and retaining approximately 51,137 shares worth $6.27 million.
• Encompass Health recently reported earnings of $1.40 per share for the quarter, exceeding estimates and showing a 12.0% increase in revenue compared to the previous year.
• The company raised its quarterly dividend from $0.17 to $0.19, representing an annualized dividend of $0.76 and a yield of 0.6%.

Harbor Capital Advisors Inc. lessened its stake in shares of Encompass Health Corporation (NYSE:EHC - Free Report) by 25.0% in the second quarter, according to its most recent Form 13F filing with the SEC. The fund owned 51,137 shares of the company's stock after selling 17,027 shares during the period. Harbor Capital Advisors Inc. owned about 0.05% of Encompass Health worth $6,271,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also bought and sold shares of the company. OneDigital Investment Advisors LLC bought a new stake in shares of Encompass Health during the 1st quarter valued at about $263,000. GAMMA Investing LLC increased its holdings in shares of Encompass Health by 21.5% in the first quarter. GAMMA Investing LLC now owns 2,366 shares of the company's stock valued at $240,000 after purchasing an additional 419 shares during the last quarter. Sequoia Financial Advisors LLC increased its stake in Encompass Health by 6.7% during the first quarter. Sequoia Financial Advisors LLC now owns 2,727 shares of the company's stock worth $276,000 after purchasing an additional 172 shares during the period. Cambridge Investment Research Advisors Inc. raised its holdings in Encompass Health by 30.1% during the first quarter. Cambridge Investment Research Advisors Inc. now owns 9,597 shares of the company's stock worth $972,000 after purchasing an additional 2,218 shares in the last quarter. Finally, Fifth Third Bancorp increased its stake in Encompass Health by 88.7% in the 1st quarter. Fifth Third Bancorp now owns 4,290 shares of the company's stock valued at $434,000 after buying an additional 2,017 shares during the period. Hedge funds and other institutional investors own 97.25% of the company's stock.

Encompass Health Stock Performance

Shares of NYSE:EHC traded down $1.39 during trading on Friday, reaching $123.94. 1,428,682 shares of the company's stock traded hands, compared to its average volume of 602,788. The company has a 50 day moving average of $118.12 and a 200-day moving average of $113.71. The stock has a market capitalization of $12.48 billion, a P/E ratio of 24.25, a price-to-earnings-growth ratio of 2.17 and a beta of 0.92. The company has a debt-to-equity ratio of 0.76, a current ratio of 1.06 and a quick ratio of 1.06. Encompass Health Corporation has a 12 month low of $87.85 and a 12 month high of $127.15.

Encompass Health (NYSE:EHC - Get Free Report) last released its earnings results on Monday, August 4th. The company reported $1.40 earnings per share for the quarter, beating the consensus estimate of $1.20 by $0.20. The business had revenue of $1.46 billion during the quarter, compared to analysts' expectations of $1.43 billion. Encompass Health had a net margin of 9.22% and a return on equity of 17.83%. The firm's revenue was up 12.0% on a year-over-year basis. During the same quarter last year, the company earned $1.11 earnings per share. Encompass Health has set its FY 2025 guidance at 5.120-5.340 EPS. On average, equities analysts expect that Encompass Health Corporation will post 4.8 EPS for the current year.

Encompass Health Increases Dividend

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

Analysts Set New Price Targets

A number of research firms recently weighed in on EHC. KeyCorp raised their price target on shares of Encompass Health from $135.00 to $140.00 and gave the company an "overweight" rating in a report on Tuesday, September 16th. Truist Financial lifted their price target on shares of Encompass Health from $135.00 to $140.00 and gave the company a "buy" rating in a report on Thursday, August 14th. Wall Street Zen cut shares of Encompass Health from a "strong-buy" rating to a "buy" rating in a research report on Friday, June 6th. Bank of America raised their price target on Encompass Health from $145.00 to $160.00 and gave the company a "buy" rating in a report on Wednesday, September 10th. Finally, UBS Group raised their target price 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. One research analyst has rated the stock with a Strong Buy rating and seven have issued a Buy rating to the company. According to MarketBeat, Encompass Health currently has an average rating of "Buy" and a consensus target price of $138.43.

Insider Activity

In related news, EVP Patrick William Tuer sold 1,020 shares of Encompass Health stock in a transaction on Wednesday, August 27th. The stock was sold at an average price of $123.59, for a total transaction of $126,061.80. Following the transaction, the executive vice president directly owned 18,846 shares in the company, valued at approximately $2,329,177.14. The trade was a 5.13% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 2.00% 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.