Commerce Bank Buys New Position in Encompass Health Corporation $EHC

Commerce Bank purchased a new stake in shares of Encompass Health Corporation (NYSE:EHC) during the second quarter, Holdings Channel.com reports. The firm purchased 6,981 shares of the company’s stock, valued at approximately $706,000.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in EHC. BlackRock Inc. acquired a new position in Encompass Health in the 2nd quarter worth approximately $1,059,762,000. Price T Rowe Associates Inc. MD increased its holdings in Encompass Health by 24.6% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 4,805,413 shares of the company’s stock valued at $510,047,000 after buying an additional 948,202 shares in the last quarter. Northwestern Mutual Wealth Management Co. raised its holdings in Encompass Health by 3,059,159.7% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 3,793,482 shares of the company’s stock worth $402,640,000 after purchasing an additional 3,793,358 shares during the period. Wellington Management Group LLP increased its position in shares of Encompass Health by 21.7% in the fourth quarter. Wellington Management Group LLP now owns 3,384,877 shares of the company’s stock valued at $359,271,000 after buying an additional 603,472 shares in the last quarter. Finally, T. Rowe Price Investment Management Inc. grew its position in shares of Encompass Health by 27.2% in the fourth quarter. T. Rowe Price Investment Management Inc. now owns 2,722,887 shares of the company’s stock valued at $289,008,000 after purchasing an additional 581,812 shares during the period. Institutional investors and hedge funds own 97.25% of the company’s stock.

Encompass Health Price Performance

Shares of NYSE EHC opened at $120.86 on Thursday. The stock’s 50-day moving average is $112.30 and its two-hundred day moving average is $106.98. The company has a debt-to-equity ratio of 0.76, a current ratio of 1.19 and a quick ratio of 1.19. The company has a market cap of $11.92 billion, a price-to-earnings ratio of 19.68, a price-to-earnings-growth ratio of 2.43 and a beta of 0.72. Encompass Health Corporation has a 1-year low of $92.77 and a 1-year high of $127.99.

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

Encompass Health Increases Dividend

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

Insider Buying and Selling

In other Encompass Health 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 transaction, 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 ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, EVP John Patrick Darby sold 8,906 shares of Encompass Health stock in a transaction that occurred on Monday, August 10th. The stock was sold at an average price of $125.95, for a total value of $1,121,710.70. Following the transaction, the executive vice president directly owned 75,041 shares in the company, valued at approximately $9,451,413.95. This trade represents a 10.61% decrease in their position. The disclosure for this sale is available in the SEC filing. Corporate insiders own 1.80% of the company’s stock.

More Encompass Health News

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

• Positive Sentiment: Zacks raised its FY2026 EPS forecast to $6.03 from $5.96, FY2027 to $6.42 from $6.35, and FY2028 to $7.18 from $7.16. It also increased estimates for Q1 2027, Q2 2027, Q3 2027, and Q2 2028, signaling improving confidence in EHC’s medium- and long-term earnings trajectory.
• Positive Sentiment: Encompass Health’s facility expansion, including its North Carolina pipeline, could support 6%–8% multi-year discharge growth. That potential provides a fundamental catalyst for the stock by increasing future patient capacity and revenue. How EHC’s Capacity Expansion Fuels a Multi-Year Growth Runway
• Positive Sentiment: The company’s latest reported quarter also showed healthy operating momentum: adjusted earnings of $1.55 per share exceeded estimates, revenue reached $1.60 billion, and sales increased 9.6% year over year. Full-year 2026 guidance remains $6.02–$6.25 EPS.
• Neutral Sentiment: Zacks’ momentum analysis continues to characterize EHC as a long-term momentum candidate, although the assessment is based on quantitative style factors rather than a new company announcement. Why Encompass Health Is a Top Momentum Stock for the Long-Term
• Negative Sentiment: Zacks trimmed near-term estimates for Q3 2026 EPS to $1.35 from $1.36 and Q4 2026 EPS to $1.53 from $1.55. These modest cuts may limit immediate upside, though they were outweighed by the stronger longer-term revisions.

Analyst Ratings Changes

EHC has been the topic of several research reports. Truist Financial raised their target price on Encompass Health from $140.00 to $150.00 and gave the company a “buy” rating in a research report on Friday, August 7th. Wall Street Zen raised shares of Encompass Health from a “hold” rating to a “buy” rating in a report on Sunday, August 16th. TD Cowen lifted their price target on shares of Encompass Health from $125.00 to $140.00 and gave the company a “buy” rating in a research report on Monday, August 10th. Barclays increased their price objective on Encompass Health from $140.00 to $144.00 and gave the stock an “overweight” rating in a research report on Thursday, August 6th. Finally, Weiss Ratings raised shares of Encompass Health from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Wednesday, August 12th. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Buy” and a consensus price target of $148.71.

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.