Encompass Health (NYSE:EHC) Reaches New 12-Month High on Better-Than-Expected Earnings

Encompass Health Co. (NYSE:EHC - Get Free Report)'s stock price reached a new 52-week high on Thursday following a better than expected earnings announcement. The stock traded as high as $85.01 and last traded at $85.01, with a volume of 434 shares traded. The stock had previously closed at $82.80.

The company reported $1.12 earnings per share for the quarter, beating the consensus estimate of $0.93 by $0.19. The company had revenue of $1.32 billion for the quarter, compared to analyst estimates of $1.27 billion. Encompass Health had a return on equity of 17.69% and a net margin of 7.33%. Encompass Health's revenue was up 13.4% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.88 earnings per share.

Encompass Health Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, April 15th. Shareholders of record on Monday, April 1st were issued a $0.15 dividend. This represents a $0.60 annualized dividend and a yield of 0.73%. The ex-dividend date of this dividend was Thursday, March 28th. Encompass Health's dividend payout ratio (DPR) is 17.29%.

Analyst Upgrades and Downgrades

A number of research firms recently commented on EHC. Royal Bank of Canada reaffirmed an "outperform" rating and set a $83.00 price objective on shares of Encompass Health in a research note on Friday, February 9th. Barclays increased their price objective on Encompass Health from $101.00 to $108.00 and gave the company an "overweight" rating in a research note on Thursday. William Blair reaffirmed an "outperform" rating on shares of Encompass Health in a research note on Wednesday, February 7th. Mizuho increased their target price on Encompass Health from $93.00 to $95.00 and gave the stock a "buy" rating in a research report on Thursday. Finally, Truist Financial increased their target price on Encompass Health from $82.00 to $86.00 and gave the stock a "buy" rating in a research report on Friday, February 9th. Eight analysts have rated the stock with a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, Encompass Health presently has a consensus rating of "Buy" and an average price target of $85.44.

Hedge Funds Weigh In On Encompass Health

A number of large investors have recently modified their holdings of the company. Principal Securities Inc. acquired a new stake in shares of Encompass Health in the fourth quarter valued at about $25,000. Benjamin F. Edwards & Company Inc. grew its stake in shares of Encompass Health by 360.2% in the fourth quarter. Benjamin F. Edwards & Company Inc. now owns 405 shares of the company's stock valued at $27,000 after buying an additional 317 shares in the last quarter. McGlone Suttner Wealth Management Inc. acquired a new stake in shares of Encompass Health in the fourth quarter valued at about $30,000. GAMMA Investing LLC acquired a new stake in shares of Encompass Health in the fourth quarter valued at about $33,000. Finally, C M Bidwell & Associates Ltd. acquired a new stake in shares of Encompass Health in the third quarter valued at about $35,000. 97.25% of the stock is currently owned by hedge funds and other institutional investors.

Encompass Health Trading Down 0.1 %

The business has a 50 day moving average price of $78.07 and a 200-day moving average price of $70.76. The company has a quick ratio of 1.28, a current ratio of 1.28 and a debt-to-equity ratio of 1.19. The firm has a market cap of $8.29 billion, a price-to-earnings ratio of 23.84, a price-to-earnings-growth ratio of 1.53 and a beta of 0.94.

Encompass Health Company Profile

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.