TD Cowen Issues Positive Forecast for Encompass Health (NYSE:EHC) Stock Price

Encompass Health (NYSE:EHC) had its target price hoisted by stock analysts at TD Cowen from $140.00 to $150.00 in a research note issued to investors on Friday, Benzinga reports. The brokerage presently has a “buy” rating on the stock. TD Cowen‘s price objective suggests a potential upside of 10.43% from the company’s previous close.

Other research analysts have also recently issued reports about the company. Raymond James Financial set a $150.00 price objective on Encompass Health in a report on Monday, September 28th. UBS Group restated a “buy” rating and issued a $165.00 target price on shares of Encompass Health in a research report on Friday. Truist Financial reaffirmed a “buy” rating and issued a $156.00 price target (up from $150.00) on shares of Encompass Health in a research note on Friday. Weiss Ratings upgraded Encompass Health from a “buy (b-)” rating to a “buy (b)” rating in a report on Thursday, October 8th. Finally, KeyCorp raised their price objective on Encompass Health from $147.00 to $150.00 and gave the stock an “overweight” rating in a research report on Friday. One equities research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of “Buy” and a consensus target price of $153.43.

Encompass Health Trading Up 3.3%

Encompass Health stock traded up $4.34 during midday trading on Friday, hitting $135.84. 928,090 shares of the stock were exchanged, compared to its average volume of 1,048,685. 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 stock’s 50-day simple moving average is $122.58 and its 200 day simple moving average is $109.81. Encompass Health has a fifty-two week low of $92.77 and a fifty-two week high of $137.27. The stock has a market capitalization of $13.40 billion, a price-to-earnings ratio of 21.26, a PEG ratio of 2.47 and a beta of 0.74.

Encompass Health (NYSE:EHC) last posted its earnings results on Wednesday, October 28th. The company reported $1.52 earnings per share for the quarter, beating the consensus estimate of $1.36 by $0.16. Encompass Health had a net margin of 10.17% and a return on equity of 18.62%. The company had revenue of $1.61 billion for the quarter, compared to analyst estimates of $1.60 billion. During the same period in the previous year, the business posted $1.23 EPS. Encompass Health’s revenue was up 8.9% on a year-over-year basis. On average, equities analysts anticipate that Encompass Health will post 6.08 EPS for the current year.

Insider Buying and Selling

In other Encompass Health news, CEO Mark Tarr sold 173,148 shares of the business’s stock in a transaction that occurred on Monday, August 10th. The stock was sold at an average price of $125.47, for a total value of $21,724,879.56. Following the sale, the chief executive officer owned 267,814 shares of the company’s stock, valued at $33,602,622.58. The trade was a 39.27% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, EVP John Darby sold 4,858 shares of the firm’s stock in a transaction on Monday, August 31st. The stock was sold at an average price of $121.09, for a total value of $588,255.22. Following the transaction, the executive vice president owned 75,041 shares of the company’s stock, valued at approximately $9,086,714.69. This represents a 6.08% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 186,912 shares of company stock worth $23,434,845. 1.80% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Encompass Health

Several institutional investors have recently bought and sold shares of EHC. Gamco Investors INC. ET AL lifted its position in shares of Encompass Health by 2.0% during the first quarter. Gamco Investors INC. ET AL now owns 4,813 shares of the company’s stock worth $466,000 after purchasing an additional 94 shares in the last quarter. GAMMA Investing LLC grew its holdings in shares of Encompass Health by 2.7% in the second quarter. GAMMA Investing LLC now owns 3,969 shares of the company’s stock valued at $401,000 after purchasing an additional 106 shares in the last quarter. Childress Capital Advisors LLC increased its stake in Encompass Health by 5.1% during the 3rd quarter. Childress Capital Advisors LLC now owns 2,189 shares of the company’s stock worth $266,000 after buying an additional 106 shares during the period. Versant Capital Management Inc lifted its holdings in Encompass Health by 21.8% during the 2nd quarter. Versant Capital Management Inc now owns 720 shares of the company’s stock worth $73,000 after buying an additional 129 shares in the last quarter. Finally, QRG Capital Management Inc. lifted its holdings in Encompass Health by 1.5% during the 1st quarter. QRG Capital Management Inc. now owns 8,639 shares of the company’s stock worth $836,000 after buying an additional 130 shares in the last quarter. 97.25% of the stock is owned by institutional investors and hedge funds.

Key Encompass Health News

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

• Positive Sentiment: Q3 results topped expectations: Encompass Health reported adjusted EPS of $1.52, up from $1.23 a year earlier and above the $1.36-$1.38 analyst consensus range. Revenue rose 8.9% year over year to $1.61 billion, slightly exceeding estimates. Encompass Health reports results for third quarter 2026
• Positive Sentiment: Full-year outlook was raised: Management now expects FY 2026 EPS of $6.23 to $6.37, above the prior $6.02 to $6.25 range and the $6.11 consensus estimate. Revenue guidance remains approximately $6.5 billion, in line with expectations. Encompass Health climbs after Q3 results top expectations and guidance is raised
• Positive Sentiment: Operating trends remained healthy: Adjusted EBITDA increased 15.5% to $346.6 million, discharges grew 5.7%, same-store discharges rose 3.0%, and net patient revenue per discharge increased 4.0%. The figures suggest continued demand for inpatient rehabilitation services. Why Encompass Health stock is up today
• Positive Sentiment: Value-stock interest may provide additional support: A Zacks analysis characterized EHC as a strong value stock based on its Style Scores, potentially attracting investors seeking market-beating value opportunities. Why Encompass Health is a Strong Value Stock

About Encompass Health

Encompass Health Corporation (NYSE:EHC) is a healthcare services company that operates inpatient rehabilitation hospitals in the United States and Puerto Rico. Its hospitals provide intensive rehabilitation to patients recovering from conditions such as stroke, brain and spinal cord injuries, neurological disorders, amputations, hip fractures and other serious illnesses or injuries.

The company’s services typically include nursing care, physical therapy, occupational therapy, speech and language therapy, respiratory therapy and medical management.