Last Updated: 08 Nov 2024
Executive Summary
Encompass Health Corp (EHC) is a leading provider of in-home and post-acute healthcare services in the United States. The company has a strong financial position and a track record of consistent growth. The stock is currently trading at $103.53, below its 52-week high of $103.89. Analysts are bullish on the stock, with a consensus price target of $115.25.
Company Overview
Encompass Health Corp is headquartered in Birmingham, Alabama. The company operates a network of over 130 hospitals and rehabilitation facilities in 39 states. Encompass Health provides a range of services, including inpatient rehabilitation, skilled nursing, home health, and hospice care.
Fundamental Analysis
Encompass Health Corp has a strong financial position. The company has a market capitalization of over $10 billion and a debt-to-equity ratio of 0.4. The company's revenue and earnings have grown steadily in recent years. In 2023, the company reported revenue of $5.2 billion and net income of $427 million.
Encompass Health Corp trades at a trailing price-to-earnings (P/E) ratio of 23.87 and a forward P/E ratio of 20.04. These ratios are in line with the average P/E ratios of its peers. The company's dividend yield is 0.67%, which is slightly below the average yield for the S&P 500 index.
Technical Analysis
The technical analysis of Encompass Health Corp's stock price shows that the stock is in a bullish trend. The stock price has been trading above its 50-day and 200-day moving averages for the past several months. The relative strength index (RSI) is also in bullish territory, indicating that the stock is not overbought.
Short Term Outlook
The short-term outlook for Encompass Health Corp is positive. The stock price is trading near its 52-week high and the technical indicators are bullish. The company is expected to continue to benefit from the growing demand for healthcare services.
Long Term Outlook
The long-term outlook for Encompass Health Corp is also positive. The company is well-positioned to benefit from the aging population in the United States. The company's strong financial position and track record of consistent growth make it a good investment for long-term investors.
Analyst Recommendations
Analysts are bullish on Encompass Health Corp. The consensus price target for the stock is $115.25, which represents a potential upside of over 10%. Six analysts have a "Strong Buy" rating on the stock, while six analysts have a "Buy" rating. No analysts have a "Hold," "Sell," or "Strong Sell" rating on the stock.
