Short Interest in Encompass Health Corporation (NYSE:EHC) Rises By 23.8%

Encompass Health Corporation (NYSE:EHC) was the target of a significant increase in short interest in January. As of January 30th, there was short interest totaling 4,301,775 shares, an increase of 23.8% from the January 15th total of 3,473,650 shares. Based on an average daily volume of 1,156,420 shares, the days-to-cover ratio is currently 3.7 days. Approximately 4.4% of the shares of the company are short sold. Approximately 4.4% of the shares of the company are short sold. Based on an average daily volume of 1,156,420 shares, the days-to-cover ratio is currently 3.7 days.

Wall Street Analysts Forecast Growth

Several research analysts have issued reports on EHC shares. Zacks Research lowered shares of Encompass Health from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, November 19th. Wall Street Zen raised Encompass Health from a “hold” rating to a “buy” rating in a research note on Sunday, January 18th. Barclays boosted their target price on Encompass Health from $150.00 to $153.00 and gave the stock an “overweight” rating in a research report on Friday, February 6th. Finally, Raymond James Financial upgraded Encompass Health to a “strong-buy” rating in a research report on Friday, October 31st. Two equities research analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating and one has assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Encompass Health presently has a consensus rating of “Buy” and a consensus target price of $143.29.

Insider Buying and Selling at Encompass Health

In other news, CEO Mark J. Tarr sold 150,000 shares of the company’s stock in a transaction that occurred on Wednesday, February 11th. The shares were sold at an average price of $111.64, for a total value 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. This represents a 28.46% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. 2.10% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Encompass Health

A number of institutional investors have recently modified their holdings of EHC. Tectonic Advisors LLC raised its holdings in shares of Encompass Health by 1.6% during the third quarter. Tectonic Advisors LLC now owns 5,337 shares of the company’s stock worth $678,000 after acquiring an additional 82 shares in the last quarter. Global Retirement Partners LLC increased its position in Encompass Health by 23.0% in the 3rd quarter. Global Retirement Partners LLC now owns 449 shares of the company’s stock worth $57,000 after purchasing an additional 84 shares during the last quarter. EP Wealth Advisors LLC raised its stake in shares of Encompass Health by 2.4% during the 2nd quarter. EP Wealth Advisors LLC now owns 3,694 shares of the company’s stock worth $453,000 after purchasing an additional 88 shares in the last quarter. Natural Investments LLC lifted its holdings in shares of Encompass Health by 1.2% during the 3rd quarter. Natural Investments LLC now owns 7,808 shares of the company’s stock valued at $991,000 after buying an additional 89 shares during the last quarter. Finally, Allworth Financial LP grew its stake in shares of Encompass Health by 14.7% in the 3rd quarter. Allworth Financial LP now owns 701 shares of the company’s stock valued at $89,000 after buying an additional 90 shares in the last quarter. Institutional investors and hedge funds own 97.25% of the company’s stock.

Encompass Health Stock Down 1.8%

NYSE:EHC traded down $2.04 during trading hours on Monday, hitting $110.02. 1,394,447 shares of the company’s stock traded hands, compared to its average volume of 1,565,811. The stock’s fifty day moving average price is $103.93 and its two-hundred day moving average price is $114.57. The firm has a market cap of $11.07 billion, a P/E ratio of 19.86, a P/E/G ratio of 2.10 and a beta of 0.73. The company has a debt-to-equity ratio of 0.76, a quick ratio of 1.14 and a current ratio of 1.08. Encompass Health has a twelve month low of $92.53 and a twelve month high of $127.99.

Encompass Health (NYSE:EHC) last released its earnings results on Thursday, February 5th. The company reported $1.46 earnings per share for the quarter, beating the consensus estimate of $1.29 by $0.17. The company had revenue of $3.09 billion for the quarter, compared to analysts’ expectations of $1.54 billion. Encompass Health had a return on equity of 18.20% and a net margin of 9.54%.The business’s revenue for the quarter was up 9.9% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.17 EPS. Encompass Health has set its FY 2026 guidance at 5.810-6.100 EPS. On average, research analysts expect that Encompass Health will post 4.8 earnings per share for the current fiscal year.

About Encompass Health

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.