[Executive Summary & Financial Highlights](index=1&type=section&id=Executive%20Summary%20%26%20Financial%20Highlights) This section provides an overview of Encompass Health's strong Q2 2025 financial and operational performance, updated full-year guidance, and key operational developments [Q2 2025 Performance Overview](index=1&type=section&id=Q2%202025%20Performance%20Overview) Encompass Health reported strong financial and operational growth for Q2 2025, with significant increases in net operating revenue, earnings per share, and cash flows, driven by higher discharges and improved pricing Q2 2025 Key Financial and Operational Metrics | Metric | Q2 2025 (Millions) | Q2 2024 (Millions) | Growth (Dollars) | Growth (%) | | :--------------------------------------- | :----------------- | :----------------- | :--------------- | :--------- | | Net operating revenue | $1,457.7 | $1,301.2 | $156.5 | 12.0% | | Income from continuing operations per diluted share | $1.40 | $1.13 | $0.27 | 23.9% | | Adjusted earnings per share | $1.40 | $1.11 | $0.29 | 26.1% | | Cash flows provided by operating activities | $270.2 | $217.4 | $52.8 | 24.3% | | Adjusted EBITDA | $318.6 | $271.8 | $46.8 | 17.2% | | Adjusted free cash flow | $185.9 | $142.5 | $43.4 | 30.5% | | Discharges | 65,237 | 60,833 | - | 7.2% | | Same-store discharge growth | - | - | - | 4.7% | | Net patient revenue per discharge | $21,670 | $20,803 | - | 4.2% | [Full-Year 2025 Guidance Update](index=2&type=section&id=2025%20Guidance) Encompass Health increased its full-year 2025 guidance across key financial metrics, including net operating revenue, Adjusted EBITDA, and Adjusted earnings per share, reflecting a positive outlook Full-Year 2025 Guidance Comparison | Metric | Previous Guidance (Millions) | Updated Guidance (Millions) | | :---------------------------------------------------- | :------------------------- | :------------------------ | | Net operating revenue | $5,850 to $5,925 | $5,880 to $5,980 | | Adjusted EBITDA | $1,185 to $1,220 | $1,220 to $1,250 | | Adjusted earnings per share from continuing operations | $4.85 to $5.10 | $5.12 to $5.34 | [Operational Developments](index=2&type=section&id=Operational%20Developments) The company expanded its capacity for inpatient rehabilitation care by opening a new hospital and adding beds to an existing facility during the quarter - Increased capacity to serve patients by opening a new **60-bed hospital** in Fort Myers, Florida, and adding **26 beds** to an existing hospital[4](index=4&type=chunk) [Company Information](index=2&type=section&id=Company%20Information) This section details Encompass Health's identity as the largest inpatient rehabilitation hospital operator, highlighting its operational scale and industry accolades [About Encompass Health](index=2&type=section&id=About%20Encompass%20Health) Encompass Health is the largest owner and operator of inpatient rehabilitation hospitals in the United States, providing high-quality, compassionate rehabilitative care and recognized for its industry leadership - Encompass Health (NYSE: EHC) is the **largest owner and operator of inpatient rehabilitation hospitals** in the United States[7](index=7&type=chunk) - Operates **169 hospitals** in **38 states and Puerto Rico**, focusing on high-quality, compassionate rehabilitative care using advanced technology[7](index=7&type=chunk) - Ranked as one of Fortune's **World's Most Admired Companies** and Forbes' **Most Trusted Companies in America**[7](index=7&type=chunk) [Consolidated Financial Statements](index=4&type=section&id=Consolidated%20Financial%20Statements) This section presents the company's condensed consolidated financial statements, including statements of operations, balance sheets, and cash flows, reflecting strong growth [Condensed Consolidated Statements of Operations](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) The condensed consolidated statements of operations show substantial year-over-year growth in net operating revenues and net income for both the three and six months ended June 30, 2025 Condensed Consolidated Statements of Operations (Millions) | Metric | Q2 2025 (Millions) | Q2 2024 (Millions) | 6M 2025 (Millions) | 6M 2024 (Millions) | | :---------------------------------------------------- | :----------------- | :----------------- | :----------------- | :----------------- | | Net operating revenues | $1,457.7 | $1,301.2 | $2,913.1 | $2,617.2 | | Total operating expenses | $1,198.6 | $1,085.6 | $2,387.0 | $2,194.1 | | Income from continuing operations before income tax expense | $236.8 | $186.0 | $475.4 | $364.4 | | Net income attributable to Encompass Health | $142.1 | $114.1 | $293.6 | $226.6 | | Diluted EPS from continuing operations attributable to Encompass Health | $1.40 | $1.13 | $2.88 | $2.24 | [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet reflects an increase in total assets as of June 30, 2025, compared to December 31, 2024, primarily driven by growth in property and equipment, goodwill, and cash Condensed Consolidated Balance Sheets (Millions) | Metric | June 30, 2025 (Millions) | December 31, 2024 (Millions) | | :-------------------------------- | :----------------------- | :--------------------------- | | Total assets | $6,785.7 | $6,534.7 | | Total current assets | $918.1 | $886.9 | | Property and equipment, net | $3,820.3 | $3,643.1 | | Goodwill | $1,303.0 | $1,284.0 | | Total liabilities | $3,697.5 | $3,685.5 | | Total shareholders' equity | $3,033.1 | $2,792.7 | [Condensed Consolidated Statements of Cash Flows](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For the six months ended June 30, 2025, net cash provided by operating activities increased significantly, while cash used in investing and financing activities also saw increases compared to the prior year Condensed Consolidated Statements of Cash Flows (Millions) | Metric | 6M 2025 (Millions) | 6M 2024 (Millions) | | :----------------------------------- | :----------------- | :----------------- | | Net cash provided by operating activities | $558.8 | $456.2 | | Net cash used in investing activities | $(323.9) | $(288.1) | | Net cash used in financing activities | $(220.6) | $(90.2) | | Increase in cash, cash equivalents, and restricted cash | $14.3 | $77.9 | | Cash, cash equivalents, and restricted cash at end of period | $137.4 | $182.1 | [Supplemental Information & Non-GAAP Reconciliations](index=3&type=section&id=Supplemental%20Information%20%26%20Non-GAAP%20Reconciliations) This section clarifies the use of non-GAAP financial measures and provides detailed reconciliations for Adjusted EBITDA, Adjusted EPS, and Adjusted Free Cash Flow [Note Regarding Non-GAAP Financial Measures](index=3&type=section&id=Other%20information) Encompass Health uses non-GAAP financial measures and provides reconciliations to GAAP, but does not offer GAAP guidance for certain non-GAAP metrics due to the unpredictability of specific items outside its control - The press release includes non-GAAP financial measures such as **adjusted earnings per share**, **leverage ratio**, **Adjusted EBITDA**, and **adjusted free cash flow**, with reconciliations to comparable GAAP measures[9](index=9&type=chunk) - GAAP guidance is not provided for certain non-GAAP measures (excluding net operating revenues) because the company cannot reasonably predict the future impact of items deemed outside its control or not indicative of ongoing operating performance[10](index=10&type=chunk) - Reasonably estimable GAAP measures for 2025, if other reconciling GAAP measures could be predicted, include approximately **$125 million for interest expense** and amortization of debt discounts and fees, and **$10 million for amortization of debt-related items**[11](index=11&type=chunk) [Adjusted EBITDA Reconciliations](index=9&type=section&id=Adjusted%20EBITDA%20Reconciliations) This section provides detailed reconciliations of both net cash provided by operating activities and net income to Adjusted EBITDA, adjusting for various non-operating and non-recurring items for both quarterly and year-to-date periods [Reconciliation of Net Cash Provided by Operating Activities to Adjusted EBITDA](index=9&type=section&id=Reconciliation%20of%20Net%20Cash%20Provided%20by%20Operating%20Activities%20to%20Adjusted%20EBITDA) This reconciliation details the adjustments from net cash provided by operating activities to Adjusted EBITDA for quarterly and year-to-date periods Reconciliation of Net Cash Provided by Operating Activities to Adjusted EBITDA (Millions) | Metric | Q2 2025 (Millions) | Q2 2024 (Millions) | 6M 2025 (Millions) | 6M 2024 (Millions) | | :---------------------------------------------------- | :----------------- | :----------------- | :----------------- | :----------------- | | Net cash provided by operating activities | $270.2 | $217.4 | $558.8 | $456.2 | | Interest expense and amortization of debt discounts and fees | $30.4 | $34.3 | $62.2 | $69.5 | | Current portion of income tax expense | $54.5 | $40.6 | $87.3 | $72.4 | | Adjusted EBITDA | $318.6 | $271.8 | $632.2 | $544.8 | [Reconciliation of Net Income to Adjusted EBITDA](index=14&type=section&id=Reconciliation%20of%20Net%20Income%20to%20Adjusted%20EBITDA) This reconciliation details the adjustments from net income to Adjusted EBITDA for quarterly and year-to-date periods Reconciliation of Net Income to Adjusted EBITDA (Millions) | Metric | Q2 2025 (Millions) | Q2 2024 (Millions) | 6M 2025 (Millions) | 6M 2024 (Millions) | | :---------------------------------------------------- | :----------------- | :----------------- | :----------------- | :----------------- | | Net income | $184.9 | $146.5 | $381.4 | $285.3 | | Provision for income tax expense | $51.0 | $38.3 | $92.6 | $76.6 | | Interest expense and amortization of debt discounts and fees | $30.4 | $34.3 | $62.2 | $69.5 | | Depreciation and amortization | $79.9 | $72.9 | $159.1 | $143.2 | | Adjusted EBITDA | $318.6 | $271.8 | $632.2 | $544.8 | [Adjusted Earnings Per Share Reconciliations](index=7&type=section&id=Adjusted%20Earnings%20Per%20Share%20Reconciliations) This section provides detailed reconciliations for both GAAP and non-GAAP earnings per share, adjusting for specific items to present a clearer view of ongoing operating performance across various periods [Earnings Per Share (GAAP)](index=7&type=section&id=Earnings%20Per%20Share) This table presents the GAAP earnings per share from continuing operations for both quarterly and year-to-date periods Earnings Per Share (GAAP) (Millions) | Metric | Q2 2025 (Millions) | Q2 2024 (Millions) | 6M 2025 (Millions) | 6M 2024 (Millions) | | :---------------------------------------------------- | :----------------- | :----------------- | :----------------- | :----------------- | | Income from continuing operations attributable to Encompass Health | $143.0 | $115.3 | $295.0 | $229.1 | | Basic earnings per share from continuing operations | $1.42 | $1.14 | $2.92 | $2.28 | | Diluted earnings per share from continuing operations | $1.40 | $1.13 | $2.88 | $2.24 | [Adjusted Earnings Per Share (Non-GAAP)](index=8&type=section&id=Adjusted%20Earnings%20Per%20Share) This table presents the adjusted non-GAAP earnings per share for both quarterly and year-to-date periods Adjusted Earnings Per Share (Non-GAAP) | Metric | Q2 2025 | Q2 2024 | 6M 2025 | 6M 2024 | | :---------------------------------------------------- | :------ | :------ | :------ | :------ | | Earnings per share, as reported | $1.40 | $1.13 | $2.88 | $2.24 | | Adjusted earnings per share | $1.40 | $1.11 | $2.77 | $2.23 | [Reconciliation of Income from Continuing Operations Attributable to Encompass Health per Diluted Share to Adjusted Earnings Per Share (Q2 2025)](index=10&type=section&id=Reconciliation%20of%20Income%20from%20Continuing%20Operations%20Attributable%20to%20Encompass%20Health%20per%20Diluted%20Share%20to%20Adjusted%20Earnings%20Per%20Share%20(Q2%202025)) This reconciliation details adjustments from reported diluted EPS to adjusted diluted EPS for Q2 2025 Q2 2025 Adjusted Earnings Per Share Reconciliation (Millions) | Metric | As Reported (Millions) | Income Tax Adjustments (Millions) | Change in Fair Market Value of Equity Securities (Millions) | As Adjusted (Millions) | | :---------------------------------------------------- | :--------------------- | :-------------------------------- | :------------------------------------------ | :--------------------- | | Income from continuing operations attributable to Encompass Health | $143.0 | $0.4 | $(0.2) | $143.2 | | Diluted earnings per share from continuing operations | $1.40 | — | — | $1.40 | [Reconciliation of Income from Continuing Operations Attributable to Encompass Health per Diluted Share to Adjusted Earnings Per Share (Q2 2024)](index=11&type=section&id=Reconciliation%20of%20Income%20from%20Continuing%20Operations%20Attributable%20to%20Encompass%20Health%20per%20Diluted%20Share%20to%20Adjusted%20Earnings%20Per%20Share%20(Q2%202024)) This reconciliation details adjustments from reported diluted EPS to adjusted diluted EPS for Q2 2024 Q2 2024 Adjusted Earnings Per Share Reconciliation (Millions) | Metric | As Reported (Millions) | Income Tax Adjustments (Millions) | Change in Fair Market Value of Equity Securities (Millions) | As Adjusted (Millions) | | :---------------------------------------------------- | :--------------------- | :-------------------------------- | :------------------------------------------ | :--------------------- | | Income from continuing operations attributable to Encompass Health | $115.3 | $(2.4) | $0.3 | $113.2 | | Diluted earnings per share from continuing operations | $1.13 | $(0.02) | — | $1.11 | [Reconciliation of Income from Continuing Operations Attributable to Encompass Health per Diluted Share to Adjusted Earnings Per Share (6M 2025)](index=12&type=section&id=Reconciliation%20of%20Income%20from%20Continuing%20Operations%20Attributable%20to%20Encompass%20Health%20per%20Diluted%20Share%20to%20Adjusted%20Earnings%20Per%20Share%20(6M%202025)) This reconciliation details adjustments from reported diluted EPS to adjusted diluted EPS for the six months ended June 30, 2025 6M 2025 Adjusted Earnings Per Share Reconciliation (Millions) | Metric | As Reported (Millions) | Income Tax Adjustments (Millions) | Change in Fair Market Value of Equity Securities (Millions) | As Adjusted (Millions) | | :---------------------------------------------------- | :--------------------- | :-------------------------------- | :------------------------------------------ | :--------------------- | | Income from continuing operations attributable to Encompass Health | $295.0 | $(11.6) | $(0.7) | $282.7 | | Diluted earnings per share from continuing operations | $2.88 | $(0.11) | $(0.01) | $2.77 | [Reconciliation of Income from Continuing Operations Attributable to Encompass Health per Diluted Share to Adjusted Earnings Per Share (6M 2024)](index=13&type=section&id=Reconciliation%20of%20Income%20from%20Continuing%20Operations%20Attributable%20to%20Encompass%20Health%20per%20Diluted%20Share%20to%20Adjusted%20Earnings%20Per%20Share%20(6M%202024)) This reconciliation details adjustments from reported diluted EPS to adjusted diluted EPS for the six months ended June 30, 2024 6M 2024 Adjusted Earnings Per Share Reconciliation (Millions) | Metric | As Reported (Millions) | Asset Impairment Impact (Millions) | Income Tax Adjustments (Millions) | Change in Fair Market Value of Equity Securities (Millions) | As Adjusted (Millions) | | :---------------------------------------------------- | :--------------------- | :------------------------- | :-------------------------------- | :------------------------------------------ | :--------------------- | | Income from continuing operations attributable to Encompass Health | $229.1 | $1.8 | $(3.0) | $0.1 | $228.0 | | Diluted earnings per share from continuing operations | $2.24 | $0.02 | $(0.03) | — | $2.23 | [Adjusted Free Cash Flow Reconciliation](index=15&type=section&id=Reconciliation%20of%20Net%20Cash%20Provided%20by%20Operating%20Activities%20to%20Adjusted%20Free%20Cash%20Flow) The reconciliation shows an increase in adjusted free cash flow for both the three and six months ended June 30, 2025, compared to the prior year, with details on investing and financing activities Adjusted Free Cash Flow Reconciliation (Millions) | Metric | Q2 2025 (Millions) | Q2 2024 (Millions) | 6M 2025 (Millions) | 6M 2024 (Millions) | | :---------------------------------------------------- | :----------------- | :----------------- | :----------------- | :----------------- | | Net cash provided by operating activities | $270.2 | $217.4 | $558.8 | $456.2 | | Impact of discontinued operations | $1.2 | $2.0 | $1.9 | $2.7 | | Net cash provided by operating activities of continuing operations | $271.4 | $219.4 | $560.7 | $458.9 | | Capital expenditures for maintenance | $(45.1) | $(48.9) | $(79.1) | $(87.6) | | Distributions paid to noncontrolling interests of consolidated affiliates | $(40.4) | $(27.8) | $(73.3) | $(52.5) | | Adjusted free cash flow | $185.9 | $142.5 | $408.3 | $310.1 | - Net cash used in investing activities was **$165.4 million for Q2 2025** and **$323.9 million for 6M 2025**, primarily due to capital expenditures[29](index=29&type=chunk)[31](index=31&type=chunk) - Net cash used in financing activities was **$90.2 million for Q2 2025** and **$220.6 million for 6M 2025**, primarily from distributions to noncontrolling interests, stock repurchases, net debt payments, and cash dividends[29](index=29&type=chunk)[31](index=31&type=chunk) [Corporate Disclosures](index=2&type=section&id=Corporate%20Disclosures) This section provides details on the upcoming earnings conference call and includes important forward-looking statements and risk disclosures [Earnings Conference Call and Webcast](index=2&type=section&id=Earnings%20conference%20call%20and%20webcast) Encompass Health will host an investor conference call and webcast on August 5, 2025, to discuss its second-quarter 2025 results, with details provided for access - An investor conference call will be held at **10:00 a.m. Eastern Time on Tuesday, August 5, 2025**, to discuss Q2 2025 results[5](index=5&type=chunk) - Access to the conference call is available by dialing **800 343-4849 (domestic)** or **203 518-9848 (international)** using conference ID EHCQ225, or via live webcast at http://investor.encompasshealth.com[6](index=6&type=chunk) [Forward-Looking Statements](index=16&type=section&id=Forward-Looking%20Statements) This section contains a standard disclaimer that statements in the report regarding future events are forward-looking and subject to various risks and uncertainties, meaning actual results may differ materially from projections - Statements in the press release and supplemental information that are not historical facts are **forward-looking statements**, subject to risks and uncertainties[34](index=34&type=chunk) - Actual events or results may differ materially due to factors such as infectious disease outbreaks, demand for services, legal proceedings, ability to attract and retain personnel, cybersecurity risks, and changes in healthcare regulation and reimbursement[34](index=34&type=chunk)[36](index=36&type=chunk) - Encompass Health undertakes **no duty to publicly update or revise** such forward-looking information[34](index=34&type=chunk)

Core Viewpoint - Encompass Health Corporation reported strong financial results for Q2 2025, with significant revenue growth and increased guidance for the full year, reflecting the company's operational efficiency and expansion efforts [1][3]. Financial Performance - Net operating revenue for Q2 2025 was $1,457.7 million, up from $1,301.2 million in Q2 2024, representing a growth of $156.5 million or 12.0% [2]. - Income from continuing operations attributable to Encompass Health per diluted share increased to $1.40, a rise of 23.9% from $1.13 in the same quarter last year [2]. - Adjusted earnings per share for Q2 2025 were $1.40, compared to $1.11 in Q2 2024, marking a 26.1% increase [2]. - Cash flows from operating activities rose by 24.3% to $270.2 million, primarily due to increased net income [2][9]. - Adjusted EBITDA for Q2 2025 was $318.6 million, up 17.2% from $271.8 million in Q2 2024 [2][9]. Operational Highlights - The company opened a new 60-bed hospital in Fort Myers, Florida, and added 26 beds to an existing facility, enhancing its capacity to serve patients [3]. - Total discharges increased by 7.2%, with same-store discharge growth of 4.7% [2][9]. - Net patient revenue per discharge grew by 4.2%, reaching $21,670 in Q2 2025 [2]. Updated Guidance - Encompass Health raised its full-year guidance for 2025, with updated expectations for net operating revenue between $5,880 million and $5,980 million, and adjusted EBITDA between $1,220 million and $1,250 million [3]. - Adjusted earnings per share guidance was also increased to a range of $5.12 to $5.34 [3]. Company Overview - Encompass Health is the largest owner and operator of inpatient rehabilitation hospitals in the U.S., with 169 hospitals across 38 states and Puerto Rico [6]. - The company is recognized for its high-quality rehabilitative care and has received accolades from Fortune and Forbes for its reputation [6].

Core Viewpoint - Bragar Eagel & Squire, P.C. is investigating potential claims against Encompass Health Corporation due to allegations of violations of federal securities laws and unlawful business practices following negative reports about the company's hospital performance [1][3]. Group 1: Allegations and Impact - A New York Times article published on July 15, 2025, reported that Encompass's for-profit hospitals perform below average on key safety measures, with 34 facilities rated by Medicare as having significantly worse rates of potentially preventable readmissions [3]. - The article highlighted "alarming mistakes" that have led to patient fatalities, raising serious concerns about the company's operational practices [3]. - Following the publication of this article, Encompass's stock price dropped by $12.39, or 10.4%, closing at $107.28 per share, resulting in financial losses for investors [4]. Group 2: Legal Actions and Contact Information - Investors who purchased or acquired Encompass shares and suffered losses are encouraged to contact Bragar Eagel & Squire for discussions regarding their legal rights and potential claims [1][5]. - The law firm specializes in representing individual and institutional investors in complex litigation, indicating a focus on protecting shareholder interests [6].

Core Viewpoint - Pomerantz LLP is investigating claims of potential securities fraud and unlawful business practices by Encompass Health Corporation and its officers or directors [1] Group 1: Allegations and Impact - A New York Times article published on July 15, 2025, alleged that Encompass's for-profit hospitals perform below average on key safety measures, including high rates of potentially preventable readmissions [3] - The article highlighted that Encompass owns 34 facilities rated by Medicare as having statistically significantly worse rates of potentially preventable readmissions [3] - Following the publication of the article, Encompass's stock price dropped by $12.39 per share, or 10.35%, closing at $107.28 per share on the same day [4]

Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for Encompass Health (EHC) due to higher revenues, with a focus on how actual results will compare to estimates impacting stock price [1][2]. Earnings Expectations - Encompass Health is expected to report quarterly earnings of $1.20 per share, reflecting an 8.1% increase year-over-year, with revenues projected at $1.43 billion, a 9.7% rise from the previous year [3]. - The earnings report is scheduled for August 4, and better-than-expected results could lead to a stock price increase, while disappointing results may cause a decline [2]. Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, indicating a stable outlook from covering analysts [4]. - The Most Accurate Estimate for Encompass Health is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -0.24%, suggesting a bearish sentiment among analysts [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive Earnings ESP is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [10]. - Encompass Health currently holds a Zacks Rank of 2, but the negative Earnings ESP complicates predictions for beating the consensus EPS estimate [12]. Historical Performance - Encompass Health has consistently beaten consensus EPS estimates, achieving this in the last four quarters [14]. - In the last reported quarter, the company exceeded expectations by delivering earnings of $1.37 per share against an expected $1.19, resulting in a surprise of +15.13% [13]. Conclusion - While Encompass Health does not appear to be a compelling earnings-beat candidate, investors should consider various factors beyond earnings results when making investment decisions [17].

Core Viewpoint - Encompass Health Corporation is under investigation for potential securities fraud and unlawful business practices following allegations of poor performance in safety measures at its facilities, leading to a significant drop in stock price [1][2][3]. Group 1: Investigation and Allegations - Pomerantz LLP is investigating claims on behalf of investors of Encompass Health Corporation regarding possible securities fraud or unlawful business practices [1]. - The New York Times reported that Encompass's for-profit hospitals perform below average on key safety measures, with 34 facilities rated by Medicare as having significantly worse rates of preventable readmissions [2]. Group 2: Stock Price Impact - Following the publication of the allegations, Encompass's stock price fell by $12.39 per share, representing a 10.35% decrease, closing at $107.28 per share on July 15, 2025 [3].

Core Viewpoint - Encompass Health Corp. has announced an increase in its quarterly dividend by $0.02, bringing the total to $0.19 per share, payable on October 15, 2025, to shareholders of record on October 1, 2025 [1]. Company Overview - Encompass Health is the largest owner and operator of inpatient rehabilitation hospitals in the United States, with a network of 169 hospitals across 38 states and Puerto Rico [2]. - The company is recognized for providing high-quality rehabilitative care, utilizing advanced technology and innovative treatments to aid patient recovery from major injuries or illnesses [2]. - Encompass Health has received accolades, being ranked among Fortune's World's Most Admired Companies™ and Forbes' Most Trusted Companies in America [2].

Company Overview - Encompass Health Corporation is the largest owner and operator of inpatient rehabilitation hospitals in the U.S., with approximately 166 facilities across 38 states [3] - The company provides intensive post-acute care, including physical, occupational, respiratory, and speech therapy for patients recovering from major illnesses and injuries [3] Allegations of Wrongdoing - An article published by The New York Times on July 15, 2025, raised patient safety concerns at Encompass rehabilitation hospitals, stating that the company owns 34 of the 41 inpatient rehab facilities flagged by Medicare for having "statistically significantly worse rates of potentially preventable readmissions" [4] - Specific incidents mentioned include fatal carbon monoxide poisoning, medication errors, and bed alarm failures [4] Market Reaction - Following the publication of the article, Encompass's stock price fell by $12.39 per share, or 10.35%, closing at $107.28 per share on July 15, 2025 [5]

Encompass Health (EHC) has been beaten down lately with too much selling pressure. While the stock has lost 10.4% over the past four weeks, there is light at the end of the tunnel as it is now in oversold territory and Wall Street analysts expect the company to report better earnings than they predicted earlier.We use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting whether a stock is oversold. This is a momentum oscillator that measures the speed and change of ...

NEW YORK, July 23, 2025 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of Encompass Health Corporation ("Encompass" or the "Company") (NYSE: EHC). Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, ext. 7980. [Click here for information about joining the class action] On July 15, 2025, citing federal data and inspection reports, The New York Times published an article alleging that for-profit hospitals run by Encompass perform bel ...