Obermatt

Encompass

NYQ:EHC · US29261A1007
Health Care Providers & ServicesX-Large

360

69
EV / EBIT60
Price / Owner Earnings20
Owner Earnings Yield45
Dividend Yield79
Price/Sales29
EV / Gross Profit72
Price/Book31
Return on Capital89
Cash Return on Capital46
Return on Equity94
EBIT Margin89
Gross Profitability85
Cash Conversion52
Accruals24
Owner Earnings Margin39
Sales growth57
Profit Growth77
Long-Term EPS Growth60
Owner Earnings Growth60
Reinvestment69
Price momentum26
Debt load64
Refinancing51
Debt Payback37
Liquidity84
Analyst ratings91
Opinion Changes84
Price Target Upside69
Market mood100
Value Creation12/20creating some value
  • Creates more value than its capital costs
  • Owner earnings growing
  • Owner earnings per share growing
  • Reinvests at strong returns
  • Solid earnings base

What this means

Encompass clears its cost of capital, but the record is mixed across the five tests. Real value creation, just not yet consistent.

Profile

CountryUSA
IndustryHealth Care Providers & Services
SizeX-Large
TypePublic Company
ExchangeNYSE
Founded1984
Employees13,628
ISINUS29261A1007
Last UpdateApr 2, 2026
Themes
Outpatient CareOrthopaedicsNeurologyWellness and RecoveryCardiovascularPulmonologyHealth CareMedicalRehabilitation

Description

Encompass Health Corporation operates inpatient rehabilitation hospitals in the United States and Puerto Rico. The company provides specialized rehabilitative treatment, using advanced technology and intensive therapy, on an inpatient basis for pati…

Analysis

Middle-of-the-road

Encompass Health Corporation is a middle-of-the-road business: neither the economics nor the price stand out from the peer group. One caution: reported profits have recently run ahead of actual cash, which we track closely.

The price is expensive. You pay 48.3× its owner earnings: the cash an owner could take out each year, which is in the historically expensive zone. At today's price, the market is assuming roughly 18% yearly growth; analysts expect 10%. The gap between price and consensus is worth watching: demanding expectations.

The trajectory is moderate and the balance sheet is adequate. The company scores 12/20 on our value-creation score: creating some value.

What to watch: Reported profits have run ahead of actual cash for several periods. As always: this describes the company's numbers; it is not a recommendation.

360° rank · history

1007550250
91
2023202420252026

All-time high

96

Aug 2023

All-time low

57

Jan 2025

Average rank

79

across all years

Detailed & Historical Ranks

Deep dive into 15 detailed ranks and 3 years of history.

Current202520242023
Price/Sales
29
13
38
64
Price/Earnings
47
34
45
86
Price/Book
31
25
28
68
Dividend Yield
79
75
77
79
Value (overall)
46
42
37
50

Cells are coloured by rank band (red weak → green strong). Sentiment & 360° history begins 2023.

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Make Sense of the Ranks

Every rank runs 1–100 against true peers. Higher is always better.

360° View
1 · Watch OutGood· 100
Value
1 · ExpensiveGood Value· 100
Quality
1 · Weak FundamentalsHigh Quality· 100
Growth
1 · Tough TimesHigh Growth· 100
Safety
1 · High LeverageWell-Financed· 100
Sentiment
1 · SkepticismPositive· 100
Learn More →