BIRMINGHAM, Ala. and LAS VEGAS, June 18, 2025 /PRNewswire/ -- Encompass Health Corp. (NYSE: EHC) today announced preliminary plans to build a freestanding, 50-bed inpatient rehabilitation hospital in North Las Vegas, Nevada.The hospital will serve patients recovering from debilitating illnesses and injuries, including strokes and other neurological disorders, brain injuries, spinal cord injuries, amputations and complex orthopedic conditions. In addition to 24-hour nursing care, the hospital will offer phys ...

For those looking to find strong Medical stocks, it is prudent to search for companies in the group that are outperforming their peers. Encompass Health (EHC) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? A quick glance at the company's year-to-date performance in comparison to the rest of the Medical sector should help us answer this question.Encompass Health is a member of the Medical sector. This group includes 99 ...

Core Viewpoint - Encompass Health Corporation (EHC) is well-positioned for growth by providing high-quality, cost-effective integrated care, achieving a 28.8% increase year-to-date, significantly outperforming the industry average of 2.7% [1] Company Overview - Encompass Health has a market capitalization of $12 billion and operates as an integrated healthcare services company based in Birmingham, AL, with a network of 166 inpatient rehabilitation hospitals across 38 states and Puerto Rico [2] - The company's forward P/E ratio stands at 22.78X, higher than the industry average of 19.62X, reflecting growing investor confidence [2] Financial Performance and Estimates - The Zacks Consensus Estimate for EHC's 2025 earnings is $5.01 per share, indicating a 13.1% year-over-year increase, with eight upward estimate revisions in the past two months [4] - Revenue estimates for 2025 are pegged at $5.9 billion, suggesting a 9.5% year-over-year rise, with the company beating earnings estimates in the past four quarters with an average surprise of 12.3% [4] Growth Drivers - Revenue growth is driven by increased discharges and pricing, with total discharges rising 6.3% year-over-year in Q1 2025 and net patient revenue per discharge growing 3.9% year-over-year, surpassing estimates by 1.6% [5] - The company plans to continue investing in its clinical team and expand its hospital network, including seven new facilities with 340 beds and a 50-bed freestanding satellite hospital in 2025 [6] Financial Stability - EHC's financial stability is supported by a strong liquidity position, holding $95.8 million in cash and cash equivalents as of March 31, 2025, a 12.2% increase from the end of 2024 [7] - Operating cash flows increased by 17.9% year-over-year in 2024 and 20.9% in Q1 2025 [7] - The trailing 12-month return on invested capital is 9.7%, exceeding the industry average of 5.8% [8] Revenue and EPS Guidance - The company has increased its net operating revenue forecast to a range of $5.85 billion to $5.925 billion [8] - Adjusted EPS guidance has been raised to between $4.85 and $5.10 [10]

Here are three stocks with buy ranks and strong growth characteristics for investors to consider today May 27th:Encompass Health (EHC) This company which is a provider of integrated healthcare services, carries a Zacks Rank #1 (Strong Buy), and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 4.4% over the last 60 days.Encompass Health has a PEG ratio of 2.42 compared with 2.53 for the industry. The company possesses a Growth Score of A.Great Lakes Dredge & Dock (GLDD) : T ...

Encompass Health Corporation (EHC) recently inaugurated the Rehabilitation Hospital of Fort Myers, a healthcare facility built as a result of its joint venture partnership with Florida-based Lee Health. The partners joined forces back in 2022 to jointly operate two inpatient rehabilitation hospitals in Southwest Florida, one in Cape Coral and the other one in Fort Myers.Encompass Health Rehabilitation Hospital of Cape Coral commenced operations almost within the targeted timeline in 2022. Initially, the For ...

Core Insights - The Rehabilitation Hospital of Fort Myers aims to provide essential rehabilitative services for patients recovering from various conditions, including strokes and spinal cord injuries, with a focus on regaining function and independence [1] - The hospital features advanced rehabilitation technologies and a comprehensive care approach, including physical, occupational, and speech therapies [2][3] - Encompass Health operates the hospital as part of its extensive network, which includes 168 inpatient rehabilitation hospitals across the United States [4] Company Overview - Encompass Health is the largest owner and operator of inpatient rehabilitation hospitals in the U.S., with a presence in 38 states and Puerto Rico [4] - The company is recognized for its high-quality rehabilitative care and has received accolades from Fortune and Forbes for its workplace environment and trustworthiness [4] Partnership and Community Impact - The partnership between Encompass Health and Lee Health aims to enhance access to high-quality rehabilitative care in the Fort Myers community [3] - Lee Health has a long-standing history in Southwest Florida, evolving to meet community health needs since 1916 [6]

The U.S. stock market continues to show strength despite recent concerns over the nation's credit downgrade and fiscal outlook. Over the past few days, major indexes finished higher, driven by optimism surrounding the U.S.-China trade talks. A temporary 90-day pause in tariffs, along with the agreement to lower mutual tariffs to 10%, injected a wave of positive sentiment into Wall Street. The S&P 500, for example, extended its winning streak and has now closed higher in 16 of the past 19 trading days. Marke ...

Here are three stocks with buy ranks and strong growth characteristics for investors to consider today, May 19th:Great Lakes Dredge & Dock Corporation (GLDD) : This dredging services company carries a Zacks Rank #1 (Strong Buy), and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 34.8% over the last 60 days.Great Lakes Dredge & Dock has a PEG ratio of 1.01 compared with 1.59 for the industry. The company possesses a Growth Score of A.Encompass Health Corporation (EHC) : T ...

Encompass Health (EHC) 2025 Conference Summary Company Overview - Encompass Health is the largest operator of inpatient rehabilitation facilities in the United States [1] Key Points and Arguments Volume Growth and Capacity - Encompass Health has a long-term target for discharge growth of 6% to 8% annually, with total discharge growth exceeding 6% for the last eleven quarters [6][8] - The company reported a first-quarter discharge growth of 10% in the previous year, influenced by an extra day due to leap year and the quarter ending on Easter Sunday [7] - In 2025, Encompass Health plans to open seven new hospitals, with five openings occurring after September, which will affect growth rates [8] - The expected breakdown for discharge growth is approximately two-thirds from same-store growth and one-third from new store growth [8] Occupancy Rates and Bed Expansion - The occupancy rate reached 78.8%, the highest ever recorded, reflecting a systematic increase in private room availability [10] - The percentage of private rooms in the portfolio increased from 40% in 2020 to 56% by the end of Q1 2025, enhancing occupancy levels [12] - Bed expansions are projected to yield high returns, with internal rates of return (IRR) exceeding 30% [13][14] - The company plans to add approximately 120 beds to existing hospitals in 2026 and 2027 [14] Joint Ventures and Market Strategy - Joint ventures (JVs) account for about 40% of Encompass Health's business, with a robust pipeline of potential partnerships [26] - JVs provide advantages such as faster ramp-up times and management fees, enhancing financial returns [27][28] - The company employs a data-driven approach to identify markets for new facilities, considering demographics, competition, and local healthcare needs [19] Medicare Advantage and Payer Mix - The Medicare Advantage payer mix has increased from under 9% in 2018 to approximately 30% in Q1 2025, with ongoing efforts to improve this further [35] - The reimbursement gap between Medicare Advantage and fee-for-service has narrowed from over 25% to less than 2% [36] - The conversion rate for Medicare Advantage referrals to admissions is currently about half that of fee-for-service, indicating significant growth potential [42] Regulatory Environment and Risks - Encompass Health does not foresee immediate risks from potential Medicare cuts, as IRFs represent less than 2% of overall Medicare expenditures [50] - The company is subject to frequent audits and maintains a low bad debt expense of around 2% [51] - There has been no recent discussion regarding the home health transfer policy, which had previously raised concerns [54] Cost Management and Financial Strategy - Construction costs for new facilities are approximately $1.2 million per bed, with bed expansions costing between $800,000 and $850,000 per bed [58] - The company has not observed upward pressure on construction or supply costs, benefiting from reduced demand among contractors [60] - Encompass Health repurchased $32 million of its stock in Q1 2025, indicating a commitment to returning value to shareholders while expanding capacity [64] Additional Important Insights - The aging demographic is a significant driver of growth, with projections indicating that one in five Americans will be over 65 by 2030 [17][18] - The company emphasizes its value proposition in treating complex medical conditions, which resonates with Medicare Advantage plans [40] - Encompass Health's strategic focus on expanding its capacity and improving payer mix positions it well for future growth opportunities [63]

Encompass Health Corporation (EHC) recently unveiled early-stage plans to build a new 50-bed inpatient rehabilitation hospital in Apollo Beach, FL. This standalone facility will be located in the Waterset master-planned community and will offer advanced rehabilitation services for patients recovering from serious medical conditions, including strokes, spinal injuries, amputations, complex orthopedic cases and brain injuries.This project marks an expansion of Encompass Health’s footprint in Florida, aligning ...