Point72 DIFC Ltd Purchases New Stake in Encompass Health Co. (NYSE:EHC)

Point72 DIFC Ltd acquired a new position in Encompass Health Co. (NYSE:EHC) in the second quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm acquired 4,142 shares of the company’s stock, valued at approximately $355,000.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Parallel Advisors LLC grew its position in shares of Encompass Health by 192.3% during the 4th quarter. Parallel Advisors LLC now owns 573 shares of the company’s stock worth $38,000 after buying an additional 377 shares during the period. Oakworth Capital Inc. bought a new position in Encompass Health in the second quarter valued at approximately $40,000. Benjamin F. Edwards & Company Inc. boosted its stake in Encompass Health by 58.9% in the second quarter. Benjamin F. Edwards & Company Inc. now owns 534 shares of the company’s stock valued at $46,000 after acquiring an additional 198 shares during the last quarter. GAMMA Investing LLC grew its holdings in Encompass Health by 31.9% during the 1st quarter. GAMMA Investing LLC now owns 616 shares of the company’s stock worth $51,000 after acquiring an additional 149 shares during the period. Finally, Daiwa Securities Group Inc. acquired a new position in shares of Encompass Health in the 2nd quarter valued at $60,000. 97.25% of the stock is owned by institutional investors.

Analysts Set New Price Targets

A number of brokerages recently commented on EHC. Stephens reaffirmed an “overweight” rating and set a $105.00 price objective on shares of Encompass Health in a research note on Tuesday, August 6th. UBS Group upped their price target on Encompass Health from $100.00 to $110.00 and gave the company a “buy” rating in a research note on Wednesday. Royal Bank of Canada lifted their price objective on shares of Encompass Health from $95.00 to $105.00 and gave the stock an “outperform” rating in a research note on Thursday. Leerink Partnrs raised shares of Encompass Health to a “strong-buy” rating in a research note on Wednesday, July 10th. Finally, Truist Financial lifted their price target on shares of Encompass Health from $100.00 to $104.00 and gave the stock a “buy” rating in a research report on Thursday, August 15th. Nine equities research analysts have rated the stock with a buy rating and two have issued a strong buy rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Buy” and an average target price of $102.88.

Encompass Health Stock Up 0.4 %

Shares of EHC stock opened at $97.14 on Friday. The company has a market capitalization of $9.77 billion, a price-to-earnings ratio of 26.25, a P/E/G ratio of 1.41 and a beta of 0.88. Encompass Health Co. has a 12-month low of $57.55 and a 12-month high of $97.56. The firm has a fifty day moving average of $90.79 and a 200-day moving average of $85.78. The company has a quick ratio of 1.35, a current ratio of 1.35 and a debt-to-equity ratio of 1.08.

Encompass Health (NYSE:EHC) last released its quarterly earnings results on Monday, August 5th. The company reported $1.11 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.01 by $0.10. The firm had revenue of $1.30 billion for the quarter, compared to the consensus estimate of $1.30 billion. Encompass Health had a return on equity of 17.83% and a net margin of 7.88%. The company’s revenue for the quarter was up 9.6% on a year-over-year basis. During the same quarter last year, the business posted $0.95 EPS. As a group, equities research analysts predict that Encompass Health Co. will post 4.18 earnings per share for the current fiscal year.

Encompass Health Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, October 15th. Shareholders of record on Tuesday, October 1st will be given a dividend of $0.17 per share. The ex-dividend date of this dividend is Tuesday, October 1st. This represents a $0.68 dividend on an annualized basis and a yield of 0.70%. This is an increase from Encompass Health’s previous quarterly dividend of $0.15. Encompass Health’s dividend payout ratio is 16.22%.

Encompass Health declared that its Board of Directors has authorized a stock buyback plan on Wednesday, July 24th that authorizes the company to repurchase $500.00 million in shares. This repurchase authorization authorizes the company to buy up to 5.4% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board of directors believes its shares are undervalued.

Insider Activity

In related news, CFO Douglas E. Coltharp sold 12,260 shares of the stock in a transaction on Tuesday, August 13th. The shares were sold at an average price of $86.34, for a total transaction of $1,058,528.40. Following the completion of the transaction, the chief financial officer now owns 136,227 shares in the company, valued at $11,761,839.18. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. 2.10% of the stock is owned by corporate insiders.

Encompass Health Company Profile

Encompass Health Corporation provides post-acute healthcare services in the United States and Puerto Rico. It owns and operates inpatient rehabilitation hospitals that provide medical, nursing, therapy, and ancillary services. The company provides specialized rehabilitative treatment on an inpatient basis to patients who have experienced physical or cognitive disabilities or injuries due to medical conditions, such as strokes, hip fractures, and various debilitating neurological conditions.