Short Interest in Encompass Health Corporation (NYSE:EHC) Increases By 19.7%

Encompass Health Corporation (NYSE:EHC) was the recipient of a significant growth in short interest in the month of December. As of December 31st, there was short interest totaling 3,479,262 shares, a growth of 19.7% from the December 15th total of 2,907,146 shares. Based on an average daily trading volume, of 992,778 shares, the short-interest ratio is presently 3.5 days. Approximately 3.5% of the company’s shares are sold short. Approximately 3.5% of the company’s shares are sold short. Based on an average daily trading volume, of 992,778 shares, the short-interest ratio is presently 3.5 days.

Institutional Investors Weigh In On Encompass Health

A number of institutional investors have recently modified their holdings of EHC. Citizens National Bank Trust Department bought a new stake in Encompass Health in the third quarter valued at approximately $26,000. First Horizon Corp bought a new stake in Encompass Health in the 3rd quarter valued at $34,000. Westside Investment Management Inc. boosted its holdings in shares of Encompass Health by 56.7% during the third quarter. Westside Investment Management Inc. now owns 279 shares of the company’s stock worth $35,000 after acquiring an additional 101 shares during the period. Assetmark Inc. increased its holdings in shares of Encompass Health by 88.1% during the third quarter. Assetmark Inc. now owns 299 shares of the company’s stock worth $38,000 after purchasing an additional 140 shares during the period. Finally, Root Financial Partners LLC bought a new stake in shares of Encompass Health during the 3rd quarter worth approximately $39,000. Institutional investors and hedge funds own 97.25% of the company’s stock.

Encompass Health Stock Performance

Shares of NYSE EHC traded down $2.31 during midday trading on Monday, reaching $100.49. 1,176,838 shares of the company were exchanged, compared to its average volume of 934,985. The stock has a market cap of $10.11 billion, a P/E ratio of 19.00, a PEG ratio of 1.62 and a beta of 0.74. Encompass Health has a 1 year low of $92.53 and a 1 year high of $127.99. The stock has a fifty day simple moving average of $109.05 and a 200 day simple moving average of $116.14. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.76.

Encompass Health (NYSE:EHC) last announced its earnings results on Wednesday, October 29th. The company reported $1.23 earnings per share for the quarter, beating the consensus estimate of $1.19 by $0.04. The firm had revenue of $1.48 billion during the quarter, compared to the consensus estimate of $1.48 billion. Encompass Health had a net margin of 9.33% and a return on equity of 17.84%. The firm’s revenue for the quarter was up 9.4% on a year-over-year basis. During the same quarter in the previous year, the company posted $1.03 EPS. On average, research analysts forecast that Encompass Health will post 4.8 earnings per share for the current fiscal year.

Encompass Health Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, January 15th. Shareholders of record on Friday, January 2nd were given a dividend of $0.19 per share. This represents a $0.76 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date was Friday, January 2nd. Encompass Health’s payout ratio is 14.37%.

Analysts Set New Price Targets

Several equities research analysts have recently commented on EHC shares. UBS Group upped their price objective on Encompass Health from $140.00 to $150.00 and gave the stock a “buy” rating in a research note on Thursday, October 2nd. Weiss Ratings restated a “buy (b+)” rating on shares of Encompass Health in a report on Wednesday, October 8th. Zacks Research downgraded shares of Encompass Health from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, November 19th. Wall Street Zen upgraded Encompass Health from a “hold” rating to a “buy” rating in a research note on Sunday. Finally, Barclays increased their price target on shares of Encompass Health from $141.00 to $150.00 and gave the stock an “overweight” rating in a report on Thursday, October 30th. Two equities research analysts have rated the stock with a Strong Buy rating, eight have assigned a Buy rating and one has given a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Buy” and an average target price of $142.86.

About Encompass Health

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.