Horizon Investments LLC Cuts Holdings in Encompass Health Corporation $EHC

Key Points

• Horizon Investments LLC cut its stake by 33.7%, selling 18,790 shares and ending the quarter with 36,978 Encompass Health shares valued at $3.918 million per its Form 13F filing.
• Encompass Health beat Q1 estimates (EPS $1.60 vs. $1.51; revenue $1.59B, +9% YoY) and raised FY2026 guidance to 5.890–6.110 EPS, spurring analyst upgrades and a consensus price target near $146.33.
• Significant insider selling was reported—CEO sold 150,000 shares and the treasurer sold 11,937—while institutional ownership stands at about 97.25%, a dynamic some investors may view as a governance or sentiment risk.

Horizon Investments LLC decreased its position in shares of Encompass Health Corporation (NYSE:EHC - Free Report) by 33.7% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 36,978 shares of the company's stock after selling 18,790 shares during the period. Horizon Investments LLC's holdings in Encompass Health were worth $3,918,000 at the end of the most recent reporting period.

A number of other institutional investors have also recently made changes to their positions in the company. Alliancebernstein L.P. grew its position in shares of Encompass Health by 23.4% during the third quarter. Alliancebernstein L.P. now owns 2,515,878 shares of the company's stock valued at $319,567,000 after purchasing an additional 476,564 shares in the last quarter. Dimensional Fund Advisors LP grew its position in shares of Encompass Health by 0.5% during the third quarter. Dimensional Fund Advisors LP now owns 1,616,178 shares of the company's stock valued at $205,279,000 after purchasing an additional 7,349 shares in the last quarter. Raymond James Financial Inc. grew its position in shares of Encompass Health by 34.8% during the third quarter. Raymond James Financial Inc. now owns 1,541,336 shares of the company's stock valued at $195,780,000 after purchasing an additional 397,694 shares in the last quarter. JPMorgan Chase & Co. grew its position in shares of Encompass Health by 5.3% during the third quarter. JPMorgan Chase & Co. now owns 1,410,335 shares of the company's stock valued at $179,141,000 after purchasing an additional 70,387 shares in the last quarter. Finally, Millennium Management LLC grew its position in shares of Encompass Health by 140.0% during the third quarter. Millennium Management LLC now owns 1,223,665 shares of the company's stock valued at $155,430,000 after purchasing an additional 713,738 shares in the last quarter. Hedge funds and other institutional investors own 97.25% of the company's stock.

Encompass Health Trading Up 0.0%

EHC opened at $107.48 on Monday. The firm has a market cap of $10.69 billion, a P/E ratio of 17.94, a P/E/G ratio of 2.03 and a beta of 0.72. Encompass Health Corporation has a 12 month low of $92.77 and a 12 month high of $127.99. The company has a current ratio of 1.17, a quick ratio of 1.08 and a debt-to-equity ratio of 0.76. The stock has a 50-day moving average of $103.05 and a 200 day moving average of $107.45.

Encompass Health (NYSE:EHC - Get Free Report) last released its quarterly earnings results on Thursday, April 30th. The company reported $1.60 EPS for the quarter, topping the consensus estimate of $1.51 by $0.09. The company had revenue of $1.59 billion during the quarter, compared to analyst estimates of $1.57 billion. Encompass Health had a return on equity of 18.28% and a net margin of 10.04%.The firm's revenue was up 9.0% on a year-over-year basis. During the same quarter last year, the business posted $1.37 earnings per share. Encompass Health has set its FY 2026 guidance at 5.890-6.110 EPS. As a group, research analysts forecast that Encompass Health Corporation will post 5.99 EPS for the current year.

Encompass Health Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, April 15th. Shareholders of record on Wednesday, April 1st were paid a $0.19 dividend. The ex-dividend date of this dividend was Wednesday, April 1st. This represents a $0.76 annualized dividend and a yield of 0.7%. Encompass Health's dividend payout ratio (DPR) is presently 12.69%.

Analysts Set New Price Targets

EHC has been the subject of a number of research analyst reports. Barclays raised their price objective on Encompass Health from $150.00 to $153.00 and gave the company an "overweight" rating in a research report on Friday, February 6th. Wall Street Zen upgraded Encompass Health from a "hold" rating to a "buy" rating in a research report on Saturday. Two equities research analysts have rated the stock with a Strong Buy rating, six have issued a Buy rating and one has given a Hold rating to the company's stock. According to data from MarketBeat.com, Encompass Health has a consensus rating of "Buy" and a consensus price target of $146.33.

Insider Activity

In other Encompass Health news, Treasurer Edmund Fay sold 11,937 shares of the firm's stock in a transaction dated Monday, March 9th. The shares were sold at an average price of $107.00, for a total value of $1,277,259.00. Following the completion of the sale, the treasurer owned 89,325 shares of the company's stock, valued at $9,557,775. This trade represents a 11.79% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Mark J. Tarr sold 150,000 shares of the firm's stock in a transaction dated Wednesday, February 11th. The stock was sold at an average price of $111.64, for a total transaction of $16,746,000.00. Following the completion of the sale, the chief executive officer directly owned 377,070 shares of the company's stock, valued at approximately $42,096,094.80. The trade was a 28.46% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 1.80% of the stock is owned by company insiders.

Trending Headlines about Encompass Health

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

• Positive Sentiment: Q1 results beat expectations — Encompass reported revenue of about $1.59B (+9% YoY) and EPS of $1.60, topping consensus and showing solid margin and profitability improvements. Encompass Health (EHC) Q1 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Company raised FY‑2026 outlook — management updated full‑year EPS guidance to a range of 5.890–6.110 and increased revenue guidance (roughly $6.4–6.5B), signaling confidence in the recovery/hospital business. Encompass Health reports results for first quarter 2026
• Positive Sentiment: Underlying operating strength — company metrics cited in releases include healthy ROE (~18.2%), improved net margins and solid operating cash flow, supporting the earnings beat and guidance lift. Encompass Health reports results for first quarter 2026 (Finanznachrichten)
• Neutral Sentiment: Management commentary and detail — the Q1 earnings call transcript provides additional color on volumes, payor dynamics and capital allocation that investors may parse for sustainability of growth. EHC Q1 2026 Earnings Call Transcript
• Neutral Sentiment: Wide media coverage — outlets summarized the beat + guidance and amplified the stock move; useful for understanding market momentum but not new fundamental data. Encompass Health (EHC) shares skyrocket, what you need to know
• Negative Sentiment: Insider selling highlighted — filings and coverage show multiple insider sales (including sales by senior executives) in recent months, which can be perceived as a governance/headwind signal by some investors. Encompass Health Corporation (EHC) Stock Falls on Q1 2026 Earnings

Encompass Health Profile

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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