Encompass Health (NYSE:EHC) Posts Earnings Results, Beats Estimates By $0.09 EPS

by · The Cerbat Gem

Encompass Health (NYSE:EHC – Get Free Report) announced its quarterly earnings data on Monday. The company reported $1.03 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.94 by $0.09, Briefing.com reports. Encompass Health had a net margin of 7.88% and a return on equity of 17.83%. The company had revenue of $1.35 billion during the quarter, compared to analysts’ expectations of $1.33 billion. During the same quarter in the prior year, the company posted $0.86 EPS. The business’s revenue was up 11.9% on a year-over-year basis. Encompass Health updated its FY24 guidance to $4.19-$4.33 EPS and its FY 2024 guidance to 4.190-4.330 EPS.

Encompass Health Price Performance

NYSE:EHC traded up $0.12 during mid-day trading on Thursday, reaching $101.46. 52,087 shares of the company were exchanged, compared to its average volume of 636,245. Encompass Health has a 12 month low of $61.08 and a 12 month high of $102.36. The company has a fifty day moving average of $94.14 and a 200 day moving average of $88.61. The company has a quick ratio of 1.35, a current ratio of 1.35 and a debt-to-equity ratio of 1.08. The stock has a market cap of $10.21 billion, a PE ratio of 24.48, a PEG ratio of 1.45 and a beta of 0.88.

Encompass Health Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, January 15th. Shareholders of record on Thursday, January 2nd will be issued a dividend of $0.17 per share. This represents a $0.68 dividend on an annualized basis and a yield of 0.67%. The ex-dividend date is Thursday, January 2nd. Encompass Health’s dividend payout ratio is currently 16.43%.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on EHC. Barclays increased their price objective on shares of Encompass Health from $109.00 to $116.00 and gave the company an “overweight” rating in a research note on Tuesday. KeyCorp increased their price objective on shares of Encompass Health from $115.00 to $117.00 and gave the company an “overweight” rating in a research note on Tuesday. Leerink Partnrs upgraded shares of Encompass Health to a “strong-buy” rating in a research note on Wednesday, July 10th. UBS Group increased their price objective on shares of Encompass Health from $100.00 to $110.00 and gave the company a “buy” rating in a research note on Wednesday, September 25th. Finally, Leerink Partners started coverage on shares of Encompass Health in a report on Wednesday, July 10th. They issued an “outperform” rating and a $100.00 target price on the stock. Nine analysts have rated the stock with a buy rating and two have assigned a strong buy rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Buy” and a consensus price target of $107.11.

View Our Latest Stock Analysis on Encompass Health

Insiders Place Their Bets

In other Encompass Health news, CFO Douglas E. Coltharp sold 12,260 shares of the stock in a transaction dated Tuesday, August 13th. The shares were sold at an average price of $86.34, for a total transaction of $1,058,528.40. Following the sale, the chief financial officer now owns 136,227 shares of the company’s stock, valued at $11,761,839.18. This represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 2.10% of the company’s stock.

Encompass Health announced that its Board of Directors has approved a share repurchase program on Wednesday, July 24th that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the company to reacquire up to 5.4% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s leadership believes its shares are undervalued.

About Encompass Health

(Get Free Report)

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.

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