Encompass Health (NYSE:EHC) Issues FY 2024 Earnings Guidance

Encompass Health (NYSE:EHC) issued an update on its FY 2024 earnings guidance on Tuesday morning. The company provided EPS guidance of 3.970-4.220 for the period, compared to the consensus EPS estimate of 4.110. The company issued revenue guidance of $5.3 billion-$5.4 billion, compared to the consensus revenue estimate of $5.3 billion.

Encompass Health Stock Performance

Shares of NYSE EHC traded up $0.27 during midday trading on Wednesday, hitting $84.95. 828,379 shares of the company’s stock were exchanged, compared to its average volume of 657,662. The company has a quick ratio of 1.37, a current ratio of 1.37 and a debt-to-equity ratio of 1.14. Encompass Health has a 12 month low of $57.55 and a 12 month high of $94.38. The company’s 50 day moving average price is $86.45 and its 200 day moving average price is $81.34. The firm has a market capitalization of $8.55 billion, a PE ratio of 22.90, a price-to-earnings-growth ratio of 1.45 and a beta of 0.89.

Encompass Health (NYSE:EHC) last issued its earnings results on Monday, August 5th. The company reported $1.11 EPS for the quarter, topping the consensus estimate of $1.01 by $0.10. Encompass Health had a return on equity of 18.01% and a net margin of 7.60%. The company had revenue of $1.30 billion during the quarter, compared to the consensus estimate of $1.30 billion. During the same period in the previous year, the company posted $0.95 EPS. The firm’s revenue for the quarter was up 9.6% compared to the same quarter last year. As a group, analysts predict that Encompass Health will post 4.09 earnings per share for the current fiscal year.

Encompass Health Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, October 15th. Shareholders of record on Tuesday, October 1st will be paid a $0.17 dividend. This is a boost from Encompass Health’s previous quarterly dividend of $0.15. The ex-dividend date is Tuesday, October 1st. This represents a $0.68 annualized dividend and a yield of 0.80%. Encompass Health’s payout ratio is 18.38%.

Analyst Ratings Changes

Several analysts have weighed in on EHC shares. Mizuho lifted their price objective on shares of Encompass Health from $93.00 to $95.00 and gave the stock a buy rating in a research note on Thursday, April 25th. Leerink Partnrs upgraded shares of Encompass Health to a strong-buy rating in a research note on Wednesday, July 10th. Raymond James reissued a strong-buy rating and issued a $95.00 target price (up from $85.00) on shares of Encompass Health in a report on Friday, April 26th. SVB Leerink began 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. Finally, Royal Bank of Canada raised their target price on shares of Encompass Health from $83.00 to $95.00 and gave the company an outperform rating in a report on Wednesday, May 22nd. Eight research analysts have rated the stock with a buy rating and two have assigned a strong buy rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of Buy and an average target price of $99.86.

Insider Activity at Encompass Health

In related news, insider Elissa Joy Charbonneau sold 10,000 shares of Encompass Health stock in a transaction that occurred on Friday, May 24th. The shares were sold at an average price of $85.02, for a total transaction of $850,200.00. Following the sale, the insider now directly owns 18,594 shares of the company’s stock, valued at approximately $1,580,861.88. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 2.10% of the stock is currently owned by insiders.

Encompass Health Company Profile

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.