EHC Share Price | Encompass Health Corp. Stock Analysis & Recommendation

Q: How big is Encompass Health Corp.?

Market Cap: As of Jun 18, Encompass Health Corp. has a market capitalization of 13,733.69 million, categorizing it as a Mid Cap company.Recent Quarterly Performance: For the latest four quarters, Encompass Health Corp. reported net sales of 5,512.60 million and a net profit of 653.60 million.Balance Sheet Snapshot: As of Dec 24, the company reported shareholder's funds of 2,067.00 million and total assets of 6,534.70 million.

Q: What does Encompass Health Corp. do?

Overview:Encompass Health Corporation is a provider of post-acute healthcare services, operating in the Pharmaceuticals & Biotechnology industry within the mid-cap market segment.Financial Snapshot:- Most recent Net Sales: 1,455 Million (Quarterly Results - Mar 2025)- Most recent Net Profit: 197 Million (Quarterly Results - Mar 2025)- Market cap: USD 13,733.69 Million (Mid Cap)Key Metrics:- P/E: 21.00- Dividend Yield: 35.89%- Debt Equity: 0.95- Return on Equity: 30.29%- Price to Book: 6.36Contact Details:- Address: 9001 Liberty Pkwy, BIRMINGHAM AL: 35242-7509- Tel: 1 205 9677116- Website: https://www.encompasshealth.com/

Q: Is Encompass Health Corp. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Encompass Health Corp. has moved from very expensive to attractive, indicating a shift towards a more favorable assessment. The company appears to be undervalued, supported by a P/E ratio of 21, a PEG ratio of 0.71, and an EV to EBITDA ratio of 13.02. In comparison to peers, Encompass Health's P/E ratio is lower than The Ensign Group, Inc. at 32.46, but higher than DaVita, Inc. at 9.71, suggesting a competitive position within its industry.The company's recent performance has outpaced the S&P 500, with a year-to-date return of 34.87% compared to the index's 13.30%. This strong performance, coupled with a high dividend yield of 35.19% and robust ROE of 30.29%, reinforces the attractiveness of the stock at its current valuation.

Q: Is Encompass Health Corp. technically bullish or bearish?

As of 31 October 2025, the technical trend for Encompass Health Corp. has changed from bullish to mildly bullish. The current stance is mildly bullish, driven by a daily moving average indicating mild bullishness, while the weekly MACD and KST are both mildly bearish. The monthly RSI shows bullishness, and Bollinger Bands are bullish on the monthly timeframe but mildly bearish on the weekly. In terms of performance, the stock has underperformed the S&P 500 over the past week and month, with returns of -7.89% and -4.94% respectively, while it has outperformed the index year-to-date and over the longer term, with a YTD return of 26.84% compared to the S&P 500's 16.30%.

Price Point

High/Low

1Day

52 Week

Valuation

Technical

Day's Volume

CASH

1.51 M

Shareholding (Dec 2025)

FII

16.02%

Held by 214 FIIs

DII

38.27%

Held by 57 DIIs

Promoter

0.01%

How big is Encompass Health Corp.?

22-Jun-2025

As of Jun 18, Encompass Health Corp. has a market capitalization of $13.73 billion, with net sales of $5.51 billion and a net profit of $653.6 million over the latest four quarters.

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What does Encompass Health Corp. do?

22-Jun-2025

Encompass Health Corporation provides post-acute healthcare services and operates in the mid-cap Pharmaceuticals & Biotechnology sector. As of March 2025, it reported net sales of $1.455 billion and a net profit of $197 million, with a market cap of approximately $13.73 billion.

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Who are in the management team of Encompass Health Corp.?

22-Jun-2025

As of March 2022, the management team of Encompass Health Corp. includes Non-Executive Independent Chairman Leo Higdon, President and CEO Mark Tarr, and Independent Directors Gregory Carmichael, John Chidsey, Donald Correll, and Yvonne Curl, who oversee the company's strategic direction.

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Is Encompass Health Corp. overvalued or undervalued?

21-Oct-2025

As of October 17, 2025, Encompass Health Corp. is considered an attractive investment due to its undervaluation indicated by a P/E ratio of 21, a PEG ratio of 0.71, an EV to EBITDA ratio of 13.02, strong year-to-date performance of 34.87%, a high dividend yield of 35.19%, and a robust ROE of 30.29%.

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Is Encompass Health Corp. technically bullish or bearish?

05-Nov-2025

As of October 31, 2025, Encompass Health Corp. has a mildly bullish trend, with mixed indicators showing mild bullishness on daily moving averages but mildly bearish signals on weekly MACD and KST, while it has underperformed the S&P 500 recently but outperformed it year-to-date.

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Compare Encompass Health Corp. with Similar Stocks

Agilon Health, Inc.DaVita, Inc.Acadia Healthcare Co., Inc.

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Dashboard

High Management Efficiency with a high ROCE of 18.36%

Poor long term growth as Net Sales has grown by an annual rate of 4.26% and Operating profit at 9.42% over the last 5 years

The company has declared Positive results for the last 7 consecutive quarters

With ROCE of 21.99%, it has a very expensive valuation with a 3.82 Enterprise value to Capital Employed

Mojo Parameters

Stock DNA

Industry

Pharmaceuticals & Biotechnology

Market cap

USD 11,547 Million (Small Cap)

P/E

15.00

Industry P/E

Dividend Yield

0.63%

Debt Equity

0.99

Return on Equity

31.13%

Price to Book

4.74

Revenue and Profits:

Net Sales:

1,545 Million

(Quarterly Results - Dec 2025)

Net Profit:

202 Million

Total Returns

Total Returns (Price + Dividend)

TimePeriod

Price Return

Dividend Return

Total Return

3 Months

-10.84%

6 Months

-23.51%

1 Year

-1.82%

2 Years

26.15%

3 Years

85.96%

4 Years

73.15%

5 Years

50.11%

Encompass Health Corp. for the last several years.

Risk Adjusted Returns v/s

News & Corporate Actions

News

No Recent News for the Company

Announcements

No announcement available

Corporate Actions

No corporate action available

Key Factors

Quality key factors

Factor

Value

Sales Growth (5y)

5.03%

EBIT Growth (5y)

10.21%

EBIT to Interest (avg)

4.92

Debt to EBITDA (avg)

2.35

Net Debt to Equity (avg)

0.95

Sales to Capital Employed (avg)

1.22

Tax Ratio

18.96%

Dividend Payout Ratio

13.00%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

18.36%

ROE (avg)

27.24%

Valuation key factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

4.74

EV to EBIT

13.26

EV to EBITDA

10.11

EV to Capital Employed

2.88

EV to Sales

2.35

PEG Ratio

0.56

Dividend Yield

0.63%

ROCE (Latest)

21.70%

ROE (Latest)

31.13%

Technicals key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Shareholding

Shareholding Snapshot : Dec 2025

Shareholding Compare (%holding)

Majority shareholders

Domestic Funds

Held in 130 Schemes (45.27%)

Foreign Institutions

Held by 214 Foreign Institutions (16.02%)

Strategic Entities with highest holding

Highest Public shareholder

Financial

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          "val1": "123.20",
          "val2": "137.40",
          "chgp": "-10.33%",
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          "val2": "-0.60",
          "chgp": "100.00%",
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          "chgp": "27.15%",
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Quarterly Results Snapshot (Consolidated) - Dec'25 - QoQ

Dec'25

Sep'25

Change(%)

Net Sales

1,544.60

1,477.50

4.54%

Operating Profit (PBDIT) excl Other Income

369.80

326.00

13.44%

Interest

30.20

30.80

-1.95%

Exceptional Items

0.00

Consolidate Net Profit

201.90

174.70

15.57%

Operating Profit Margin (Excl OI)

183.50%

164.90%

1.86%

USD in Million.

Compare with Peers

Net Sales

QoQ Growth in quarter ended Dec 2025 is 4.54% vs 1.36% in Sep 2025

Consolidated Net Profit

QoQ Growth in quarter ended Dec 2025 is 15.57% vs -5.77% in Sep 2025

All Quarterly Results

Annual Results Snapshot (Consolidated) - Dec'25

Dec'25

Dec'24

Change(%)

Net Sales

5,935.20

5,373.20

10.46%

Operating Profit (PBDIT) excl Other Income

1,381.00

1,164.10

18.63%

Interest

123.20

137.40

-10.33%

Exceptional Items

0.00

-0.60

100.00%

Consolidate Net Profit

758.60

596.60

27.15%

Operating Profit Margin (Excl OI)

177.40%

160.90%

1.65%

USD in Million.

Compare with Peers

Net Sales

YoY Growth in year ended Dec 2025 is 10.46% vs 11.91% in Dec 2024

Consolidated Net Profit

YoY Growth in year ended Dec 2025 is 27.15% vs 26.24% in Dec 2024

All Annual Results

Company CV

About Encompass Health Corp.

Encompass Health Corp.

Pharmaceuticals & Biotechnology

Encompass Health Corporation, formerly HealthSouth Corporation, is a provider of post-acute healthcare services, offering both facility-based and home-based post-acute services in 36 states and Puerto Rico through its network of inpatient rehabilitation hospitals, home health agencies and hospice agencies. The Company manages its operations through segments, including inpatient rehabilitation, and home health and hospice. It is an owner and operator of inpatient rehabilitation hospitals. It provides specialized rehabilitative treatment on both an inpatient and outpatient basis. It offers its home health and hospice services through Encompass Home Health and Hospice business (Encompass). Encompass operates home health and hospice agencies in 30 states, with concentrations in the Southeast, Oklahoma, and Texas. As of December 31, 2018, the Company operated 130 inpatient rehabilitation hospitals.

Company Coordinates

Company Details

9001 Liberty Pkwy , BIRMINGHAM AL : 35242-7509

Tel: 1 205 9677116

https://www.encompasshealth.com/

Registrar Details