Encompass Health (EHC) Opens Rehabilitation Hospital in Ballwin

Core Viewpoint - Encompass Health Corporation has opened a new 40-bed inpatient rehabilitation hospital in partnership with BJC HealthCare, enhancing its service capacity and market presence in the rehabilitation sector [1][2]. Company Expansion - The new hospital in Ballwin, MO, is part of a joint venture with BJC HealthCare, which now includes three hospitals, aimed at helping patients recover from various conditions [2]. - Encompass Health currently operates 162 hospitals across 37 states and Puerto Rico, with plans to add six new facilities and 280 beds in 2024 [3]. - Over the 2023-2027 period, the company aims to add 6-10 new facilities and increase bed capacity by 80-120 annually, targeting a compound annual growth rate (CAGR) of 6-8% in patient discharges [4]. Financial Performance - The growth initiatives are expected to enhance market share and financial returns, with a reported 2.8% year-over-year increase in net patient revenue per discharge in Q1 2024 [5]. - Encompass Health's shares have increased by 38.4% over the past year, outperforming the industry growth of 23.3% [6]. Market Position - Encompass Health holds a Zacks Rank 2 (Buy), indicating a favorable investment outlook, alongside other top-ranked companies in the medical sector [7].