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

Encompass Health Corporation (NYSE:EHC) saw a large growth in short interest during 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 volume of 992,778 shares, the days-to-cover ratio is currently 3.5 days. Approximately 3.5% of the company’s stock are short sold. Approximately 3.5% of the company’s stock are short sold. Based on an average daily volume of 992,778 shares, the days-to-cover ratio is currently 3.5 days.

Wall Street Analyst Weigh In

Several equities analysts recently issued reports on the company. Barclays upped their price objective on Encompass Health from $141.00 to $150.00 and gave the company an “overweight” rating in a research report on Thursday, October 30th. UBS Group raised their target price on shares of Encompass Health from $140.00 to $150.00 and gave the stock a “buy” rating in a report on Thursday, October 2nd. Wall Street Zen raised Encompass Health from a “hold” rating to a “buy” rating in a report on Sunday. Zacks Research cut Encompass Health from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, November 19th. Finally, Raymond James Financial upgraded Encompass Health to a “strong-buy” rating in a research note on Friday, October 31st. Two analysts have rated the stock with a Strong Buy rating, eight have given a Buy rating and one has issued a Hold rating to the company’s stock. According to MarketBeat.com, Encompass Health currently has an average rating of “Buy” and an average target price of $142.86.

Hedge Funds Weigh In On Encompass Health

Institutional investors have recently bought and sold shares of the stock. Royal Bank of Canada lifted its stake in Encompass Health by 21.5% in the 1st quarter. Royal Bank of Canada now owns 88,470 shares of the company’s stock worth $8,960,000 after purchasing an additional 15,677 shares in the last quarter. Millennium Management LLC boosted its stake in Encompass Health by 38.4% during the first quarter. Millennium Management LLC now owns 92,197 shares of the company’s stock valued at $9,338,000 after buying an additional 25,574 shares during the last quarter. Caxton Associates LLP purchased a new position in Encompass Health during the 1st quarter valued at approximately $259,000. Voya Investment Management LLC raised its holdings in shares of Encompass Health by 5.0% during the 1st quarter. Voya Investment Management LLC now owns 15,854 shares of the company’s stock worth $1,606,000 after acquiring an additional 762 shares in the last quarter. Finally, Parallel Advisors LLC boosted its position in shares of Encompass Health by 12.2% during the 2nd quarter. Parallel Advisors LLC now owns 2,603 shares of the company’s stock valued at $319,000 after acquiring an additional 284 shares during the last quarter. 97.25% of the stock is owned by hedge funds and other institutional investors.

Encompass Health Price Performance

Encompass Health stock traded down $1.74 during mid-day trading on Tuesday, hitting $98.76. The stock had a trading volume of 1,013,604 shares, compared to its average volume of 1,187,234. Encompass Health has a one year low of $92.53 and a one year high of $127.99. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.76. The firm has a market capitalization of $9.94 billion, a P/E ratio of 18.67, a P/E/G ratio of 1.62 and a beta of 0.74. The firm’s 50 day moving average is $109.05 and its 200 day moving average is $116.14.

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

Encompass Health Announces Dividend

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

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.