Encompass Health Corporation (EHC) Stock Analysis
Range Bound setup
Healthcare · Medical Care Facilities
Hold if already holding. Not a fresh buy at $104.14, but acceptable to hold if already in. Reasons: Negative momentum; Below 200-MA, MA slope -1.2%/30d (confirmed downtrend).
Encompass Health is the nation's largest inpatient rehabilitation hospital operator with 173 hospitals in 39 states and Puerto Rico, generating $5.94 billion in revenue in 2025, with concentrations in Florida and Texas. Revenue is derived primarily from Medicaid (46.6%) and... Read more
Hold if already holding. Not a fresh buy at $104.14, but acceptable to hold if already in. Reasons: Negative momentum; Below 200-MA, MA slope -1.2%/30d (confirmed downtrend). Chart setup: RSI 49 mid-range, Bollinger mid-band. Maintain position. Not compelling to add more. Score 5.7/10, moderate confidence.
Passes 6/9 gates (favorable risk/reward ratio, clean insider activity, news events none recent, earnings proximity 56d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and death cross (50MA < 200MA). Suitability: moderate.
Recent developments
updated 2026-06-09Recent Developments — Encompass Health Corporation
Latest news
- NEWS Encompass Health (EHC) Q1 Earnings Report Preview: What To Look For - Yahoo Finance — Yahoo Finance neutral
- NEWS Encompass Health (EHC) Q1 Earnings Report Preview: What To Look For - StockStory — StockStory neutral
- NEWS Encompass Health (EHC) Q1 Earnings Report Preview: What To Look For - TradingView — TradingView neutral
- NEWS Is Encompass Health Corp (EHC) a Bargain After 3.3% Drop? GF Val - GuruFocus — GuruFocus neutral
- NEWS How Investors May Respond To Encompass Health (EHC) Q1 Earnings Beat, Buybacks, And Tennessee Expansion - Yahoo Finance — Yahoo Finance positive
Generated 2026-06-15T18:11:46Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- MEDIUMGeographicFlorida and Texas10-K Item 1: 'We operate hospitals in 39 states and Puerto Rico, with concentrations in Florida and Texas.'
Material Events(8-K, last 90d)
- 2026-03-10Item 1.01LOWEncompass Health entered the 2026 Credit Agreement on March 9, 2026: $1B revolving facility maturing March 9, 2031, replacing the 2022 Credit Agreement. Terms substantially similar with extended maturity, lower undrawn fee, and relaxed investment/debt covenants.SEC filing →
- 2026-03-10Item 1.02MEDIUMEncompass Health terminated its Sixth Amended and Restated Credit Agreement (the 2022 Credit Agreement) with Barclays Bank PLC as administrative agent on March 9, 2026, upon entry into the new 2026 Credit Agreement.SEC filing →
- 2026-02-20Item 5.02LOWEncompass Health Board appointed Cain A. Hayes as director effective January 30, 2026. On February 19, 2026 he was assigned to the Compensation and Human Capital Committee and Compliance and Quality of Care Committee.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
1 floor-breaker
Price action weak — below key moving averages, no momentum carry. Needs a base before trend-continuation setups apply.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Hold if already holding. Not a fresh buy at $104.14, but acceptable to hold if already in. Reasons: Negative momentum; Below 200-MA, MA slope -1.2%/30d (confirmed downtrend). Chart setup: RSI 49 mid-range, Bollinger mid-band. Maintain position. Not compelling to add more. Target $122.23 (+17.4%), stop $98.08 (−6.2%), A.R:R 3.0:1. Score 5.7/10, moderate confidence.
Take-profit target: $122.23 (+17.4% upside). Target $122.23 (+17.4%), stop $98.08 (−6.2%), A.R:R 3.0:1. Stop-loss: $98.08.
Negative momentum; Below 200-MA, MA slope -1.2%/30d (confirmed downtrend).
Encompass Health Corporation trades at a P/E of 17.3 (forward 15.5). TrendMatrix value score: 8.1/10. Verdict: Hold.
17 analysts cover EHC with a consensus score of 4.4/5. Average price target: $141.
What does Encompass Health Corporation do?Encompass Health is the nation's largest inpatient rehabilitation hospital operator with 173 hospitals in 39 states and...
Encompass Health is the nation's largest inpatient rehabilitation hospital operator with 173 hospitals in 39 states and Puerto Rico, generating $5.94 billion in revenue in 2025, with concentrations in Florida and Texas. Revenue is derived primarily from Medicaid (46.6%) and Medicare (24.7%) government programs for patients recovering from strokes, fractures and neurological conditions.