Hsbc Holdings PLC Grows Stake in Encompass Health Corporation $EHC

Hsbc Holdings PLC increased its position in Encompass Health Corporation (NYSE:EHC) by 412.7% in the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 276,194 shares of the company’s stock after acquiring an additional 222,327 shares during the period. Hsbc Holdings PLC’s holdings in Encompass Health were worth $29,606,000 at the end of the most recent reporting period.

Other institutional investors also recently bought and sold shares of the company. Northwestern Mutual Wealth Management Co. boosted its holdings in shares of Encompass Health by 3,059,159.7% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 3,793,482 shares of the company’s stock worth $402,640,000 after buying an additional 3,793,358 shares during the last quarter. Norges Bank bought a new position in Encompass Health in the fourth quarter worth approximately $133,221,000. Price T Rowe Associates Inc. MD boosted its stake in shares of Encompass Health by 24.6% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 4,805,413 shares of the company’s stock worth $510,047,000 after acquiring an additional 948,202 shares during the last quarter. Millennium Management LLC grew its position in shares of Encompass Health by 140.0% during the 3rd quarter. Millennium Management LLC now owns 1,223,665 shares of the company’s stock valued at $155,430,000 after acquiring an additional 713,738 shares during the period. Finally, 8 Knots Management LLC bought a new stake in shares of Encompass Health during the 2nd quarter valued at $78,644,000. Institutional investors own 97.25% of the company’s stock.

Wall Street Analyst Weigh In

Several research firms have issued reports on EHC. Wall Street Zen upgraded Encompass Health from a “hold” rating to a “buy” rating in a research report on Saturday, May 2nd. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Encompass Health in a research report on Monday, June 8th. Leerink Partners set a $152.00 price objective on Encompass Health in a research note on Friday, May 22nd. Barclays decreased their target price on shares of Encompass Health from $153.00 to $140.00 and set an “overweight” rating on the stock in a research note on Tuesday, May 5th. Finally, TD Cowen assumed coverage on shares of Encompass Health in a report on Thursday, May 28th. They set a “buy” rating and a $125.00 price target on the stock. One investment analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and one has assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Buy” and a consensus price target of $143.86.

Insider Buying and Selling

In related news, EVP Patrick William Tuer sold 682 shares of the stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $104.56, for a total transaction of $71,309.92. Following the completion of the transaction, the executive vice president directly owned 24,755 shares of the company’s stock, valued at approximately $2,588,382.80. This represents a 2.68% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Insiders own 1.80% of the company’s stock.

Encompass Health Stock Performance

EHC opened at $102.42 on Thursday. The company has a debt-to-equity ratio of 0.76, a quick ratio of 1.17 and a current ratio of 1.17. The stock has a market capitalization of $10.16 billion, a price-to-earnings ratio of 17.10, a PEG ratio of 2.18 and a beta of 0.72. The company has a fifty day moving average of $103.48 and a 200 day moving average of $103.71. Encompass Health Corporation has a fifty-two week low of $92.77 and a fifty-two week high of $127.99.

Encompass Health (NYSE:EHC) last announced 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. Encompass Health had a net margin of 10.04% and a return on equity of 18.28%. The business had revenue of $1.59 billion for the quarter, compared to analysts’ expectations of $1.57 billion. During the same quarter in the previous year, the company earned $1.37 EPS. The business’s quarterly revenue was up 9.0% compared to the same quarter last year. Encompass Health has set its FY 2026 guidance at 5.890-6.110 EPS. As a group, sell-side analysts forecast that Encompass Health Corporation will post 5.97 earnings per share for the current fiscal year.

Encompass Health Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, July 15th. Investors of record on Wednesday, July 1st will be given a $0.19 dividend. This represents a $0.76 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date is Wednesday, July 1st. Encompass Health’s payout ratio is currently 12.69%.

Encompass Health Company 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.