Jefferies Financial Group Inc. Invests $691,000 in Encompass Health Corporation $EHC

Jefferies Financial Group Inc. acquired a new stake in Encompass Health Corporation (NYSE:EHC) in the second quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund acquired 6,832 shares of the company’s stock, valued at approximately $691,000.

Other large investors have also recently added to or reduced their stakes in the company. Royal Bank of Canada lifted its holdings in Encompass Health by 21.5% during the 1st quarter. Royal Bank of Canada now owns 88,470 shares of the company’s stock worth $8,960,000 after buying an additional 15,677 shares in the last quarter. Millennium Management LLC grew its stake in shares of Encompass Health by 38.4% in the first quarter. Millennium Management LLC now owns 92,197 shares of the company’s stock worth $9,338,000 after acquiring an additional 25,574 shares in the last quarter. Caxton Associates LLP acquired a new position in shares of Encompass Health in the first quarter worth $259,000. Walleye Capital LLC increased its position in shares of Encompass Health by 667.6% during the second quarter. Walleye Capital LLC now owns 6,522 shares of the company’s stock worth $800,000 after acquiring an additional 7,671 shares during the period. Finally, Gamco Investors INC. ET AL purchased a new stake in shares of Encompass Health during the second quarter worth $588,000. 97.25% of the stock is owned by hedge funds and other institutional investors.

Encompass Health Price Performance

Encompass Health stock opened at $120.51 on Tuesday. The company has a current ratio of 1.19, a quick ratio of 1.19 and a debt-to-equity ratio of 0.76. The company has a fifty day simple moving average of $113.64 and a 200-day simple moving average of $107.27. The stock has a market cap of $11.89 billion, a P/E ratio of 19.63, a price-to-earnings-growth ratio of 2.45 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.

Encompass Health (NYSE:EHC) last posted its earnings results on Wednesday, August 5th. The company reported $1.55 EPS for the quarter, beating the consensus estimate of $1.48 by $0.07. Encompass Health had a return on equity of 18.08% and a net margin of 10.01%.The firm had revenue of $1.60 billion for the quarter, compared to analyst estimates of $1.57 billion. During the same quarter in the prior year, the company posted $1.40 earnings per share. Encompass Health’s revenue for the quarter was up 9.6% compared to the same quarter last year. Encompass Health has set its FY 2026 guidance at 6.020-6.250 EPS. Equities analysts expect that Encompass Health Corporation will post 6.08 EPS for the current fiscal year.

Encompass Health Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 15th. Stockholders of record on Thursday, October 1st will be issued a $0.21 dividend. This represents a $0.84 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date is Thursday, October 1st. This is an increase from Encompass Health’s previous quarterly dividend of $0.19. Encompass Health’s dividend payout ratio (DPR) is currently 12.38%.

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on the company. Leerink Partners set a $152.00 target price on Encompass Health in a report on Friday, May 22nd. TD Cowen upped their price target on Encompass Health from $125.00 to $140.00 and gave the stock a “buy” rating in a report on Monday, August 10th. Barclays increased their price target on Encompass Health from $140.00 to $144.00 and gave the company an “overweight” rating in a research report on Thursday, August 6th. Weiss Ratings raised Encompass Health from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Wednesday, August 12th. Finally, Truist Financial upped their target price on shares of Encompass Health from $140.00 to $150.00 and gave the stock a “buy” rating in a research note on Friday, August 7th. One research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and one has issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Buy” and a consensus price target of $148.71.

Insider Activity

In other news, CEO Mark J. Tarr sold 173,148 shares of the firm’s stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $125.47, for a total transaction of $21,724,879.56. Following the sale, the chief executive officer owned 267,814 shares of the company’s stock, valued at approximately $33,602,622.58. This trade represents a 39.27% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP John Patrick Darby sold 8,906 shares of the company’s stock in a transaction that occurred on Monday, August 10th. The shares were sold at an average price of $125.95, for a total value of $1,121,710.70. Following the completion of the transaction, the executive vice president directly owned 75,041 shares of the company’s stock, valued at $9,451,413.95. This trade represents a 10.61% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 1.80% of the stock is currently owned by company insiders.

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.