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EHC

STRONG BUYFLAG

Encompass Health Corporation · Healthcare · United States · $11.2B · Avg Vol: $126M/d

89
StockRank
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Q
71
V
49
M
66
P/E (TTM)
19.3x
ROE
25.2%
D/E
0.8x
Dividend %
0.7%
AI CONVICTION THESIS

Encompass Health has quality Q71 and momentum M66 with a buyback on file, but value at V49 is one point below the calibrated floor, so stage one fails. Insider selling is separately adverse.

COMPANY DESCRIPTION

Encompass Health Corporation is the largest owner and operator of inpatient rehabilitation hospitals in the United States, also providing comprehensive home health and hospice services. The company specializes in integrated post-acute care for patients recovering from complex medical conditions, offering high-quality, specialized rehabilitation programs. Its extensive network and commitment to clinical outcomes solidify its leadership position in the fragmented post-acute care market.

FINANCIAL SUMMARY (USD)

Year2022202320242025CAGRTTM2026E2027EFwd CAGR
Revenue4.3B4.8B5.4B5.9B10.9%6.1B6.4B6.9B8.2%
EPS2.723.514.535.6227.4%5.836.196.749.5%
Shares99.8M100.3M100.8M100.0M+0.2%99.2M
Debt3.0B2.9B2.7B2.7B-3.2%2.8B
Equity1.3B1.6B2.1B2.4B23.0%
Op CF705.8M850.8M1.0B1.2B18.5%1.2B
Inv CF-627.0M-602.8M-653.3M-764.6M
Fin CF-145.7M-197.2M-330.6M-431.2M
Loading 1Y...
PRICE (1Y)+12.2%
97.89102106110114Jun 12Jul 7Jul 27
SMA 50SMA 200
Close
$113.88
RSI (14)
63.0
52W High
$127.27
From 52W High
0.9%

SCORE BREAKDOWN

Quality
71
ROIC
17.2%89.1
ROE
25.2%92.0
GP/Assets
37.2%77.7
Op. Margin
19.0%81.7
FCF/Assets
4.0%64.7
Piotroski
999.2
Int. Cover
8.7x59.7
D/E Ratio
0.83x18.1
Current Ratio
1.17x15.8
Value
49
P/E (TTM)
19.3x60.7
EV/EBITDA
10.3x66.8
P/FCF
39.4x32.6
P/B
4.4x30.9
P/S
1.8x70.2
Div Yield
0.7%14.8
Momentum
66
52W High %
89%85.5
RS 6M
8%79.6
SMA 50/200
0.98x61.2
EPS Rev 4W
-0.0%51.7
EPS Rev 12W
+0.9%66.3
EPS Improve
+12%29.4
Q Growth
28%66.4

FUNDAMENTALS

Market Cap
$11.2B
P/E (Forward)
17.2x
Gross Margin
43.5%

SECTOR PEERS

Closest peers in Healthcare, ranked by industry match, size, and score similarity. Cross-listings of EHC are excluded.

TickerCompanyMkt CapStockRankSignal
EHCEncompass Health Corporation(you)$11.2B89STRONG BUY
UHSUniversal Health Services, Inc.$9.4B88STRONG BUY
CHEChemed Corporation$6.8B88STRONG BUY
DVADaVita Inc.$15.1B96STRONG BUY
PACSPACS Group, Inc.$7.4B78BUY
THCTenet Healthcare Corporation$20.1B99STRONG BUY
NHCNational HealthCare Corporation$3.5B90STRONG BUY
CONConcentra Group Holdings Parent, Inc.$4.0B83STRONG BUY
ENSGThe Ensign Group, Inc.$10.1B63HOLD
LFSTLifeStance Health Group, Inc.$4.2B77BUY

Peer medians: ROE -25.6% · P/E 27.7x · Gross margin 50.6%

Encompass Health Corporation (EHC) — Stock Score Summary

Encompass Health Corporation (EHC) has a MoatMap StockRank of 89/100 based on Quality (71/100), Value (49/100), and Momentum (66/100) factor scores. The current signal is STRONG BUY. Encompass Health has quality Q71 and momentum M66 with a buyback on file, but value at V49 is one point below the calibrated floor, so stage one fails. Insider selling is separately adverse.

Encompass Health Corporation is the largest owner and operator of inpatient rehabilitation hospitals in the United States, also providing comprehensive home health and hospice services. The company specializes in integrated post-acute care for patients recovering from complex medical conditions, offering high-quality, specialized rehabilitation programs. Its extensive network and commitment to clinical outcomes solidify its leadership position in the fragmented post-acute care market.

Key Financial Metrics

Price$113.88
Market Cap$11.2B
P/E (TTM)19.30
P/E (Forward)17.21
Price/Book4.43
Return on Equity25.2%
Return on Invested Capital17.2%
Debt/Equity0.83x
Gross Margin43.5%
Operating Margin19.0%
Revenue Growth9.0%
Dividend Yield0.7%
Free Cash Flow$284M

Encompass Health Corporation operates in the Medical Care Facilities industry, part of the Healthcare sector (United States).

Frequently Asked Questions

What is Encompass Health Corporation’s (EHC) StockRank?
MoatMap’s StockRank for Encompass Health Corporation (EHC) is 89/100, with a Strong Buy signal. It is a composite of Quality (71), Value (49), and Momentum (66) factor ranks across MoatMap’s 20,000+ stock universe.
Does Encompass Health Corporation have an economic moat?
Encompass Health Corporation (EHC) has a Quality factor score of 71/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage — the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is Encompass Health Corporation a buy, hold, or sell?
MoatMap’s current signal for Encompass Health Corporation (EHC) is Strong Buy, based on a StockRank of 89/100. Signals are derived mechanically from the StockRank composite and should be one input among many — combine with your own thesis on management, competitive position, and valuation.
What sector is Encompass Health Corporation in?
Encompass Health Corporation (EHC) operates in the Healthcare sector, specifically the Medical Care Facilities industry (United States).