Encompass Health

EHC: Expanding Hospital Footprint And Bed Upgrades Will Shape Measured Outlook

AN

AnalystConsensusTarget

AnalystConsensusTarget

Not Invested

Based on Analyst Price Targets

Published

25 Aug 24

Updated

11 Dec 25

Views

79

n/a

n/a

AnalystConsensusTarget's Fair Value

n/a

1Y

11.4%

7D

-0.03%

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1Y

11.4%

7D

-0.03%

You can edit this narrative until Dec 12 11:15 PM. Then, changes will post as Updates.

Author's Valuation

US$140.3323.0% undervalued

AnalystConsensusTarget Fair Value

Shared on 11 Dec 25

EHC: De Novo Expansion Into Underserved Markets Will Drive Future Discharge Momentum

Analysts have raised their price target on Encompass Health to $150 from $140, citing expectations for continued strong discharge growth. This is driven by the company’s de novo expansion into underpenetrated markets, as well as ongoing efforts to improve conversion rates and upgrade bed capacity.

Shared on 27 Nov 25

EHC: Expansion Into New Markets And Private Rooms Will Drive Long-Term Momentum

Encompass Health's analyst price target has been raised by $10 to $150, reflecting analysts' confidence in the company's ongoing discharge growth and expansion strategies. Analyst Commentary Recent analyst commentary on Encompass Health highlights a range of factors shaping the company’s trajectory, offering insights on both its strengths and areas of potential concern.

Shared on 13 Nov 25

Fair value Increased 0.90%

EHC: Future Expansion Into New Markets Will Drive Business Momentum

Encompass Health's analyst price target has increased by $1.25 to $140.33. This reflects analysts' expectations for sustained discharge growth and successful expansion strategies.

Shared on 30 Oct 25

Encompass Health's analyst price target has been increased by $10 to $150. Analysts cite strong discharge growth and ongoing expansion strategies as key factors supporting the upward revision.

Shared on 15 Oct 25

Fair value Increased 1.21%

Encompass Health's analyst price target has increased by $1.67 to $139.08. Analysts cite the company's ongoing strong discharge growth and expansion strategies as key drivers for the upward revision.

Shared on 20 Sep 25

Fair value Increased 1.23%

With both future P/E and net profit margin remaining effectively unchanged, Encompass Health’s consensus analyst price target saw only a marginal increase from $135.75 to $137.42. What's in the News The New York Times reports Encompass Health, a leading rehab hospital operator, has had incidents of patient harm and underperforms on some Medicare safety measures, notably with higher unplanned readmissions, though it excels at helping patients return home; regulatory action and disclosure appear limited.

Shared on 05 Sep 25

With both Net Profit Margin and Consensus Revenue Growth forecasts holding steady, analysts have kept their price target for Encompass Health unchanged at $135.75. What's in the News The New York Times reports that Encompass Health, a dominant for-profit rehab hospital operator, has had rare but serious incidents of patient harm and performs below average on certain Medicare safety measures, including high rates of unplanned readmissions, though it generally excels in helping patients return and stay home; federal enforcement and transparency are deemed limited (NY Times, 2025-07-15).

Shared on 07 May 25

Fair value Increased 6.27%

Shared on 30 Apr 25

Fair value Increased 5.46%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 23 Apr 25

Fair value Increased 0.62%

AnalystConsensusTarget has decreased shares outstanding growth rate from 0.0% to -0.0%.

Shared on 17 Apr 25

Fair value Increased 0.94%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 09 Apr 25

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 02 Apr 25

Fair value Increased 2.51%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 26 Mar 25

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 19 Mar 25

Fair value Decreased 9.09%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 10 Mar 25

Fair value Decreased 2.75%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

AnalystConsensusTarget Fair Value

US$140.33

23.0% undervalued

Future estimation in

Growth p.a.

Growth p.a.

%

Decrease

Increase

Current revenue growth rate

7.80%

Healthcare Services revenue growth rate

0.23%

Risk Level (Discount Rate)

Our default considers factors like the company's size, volatility, profitablity and country of operation.

%

0

Decrease

Increase

Current discount rate

6.96%

Calculation

US$751.68m

Earnings '28

x

22.84x

PE Ratio '28

=

US$17.17b

Market Cap '28

US$17.17b

Market Cap '28

/

100.34m

No. shares '28

=

US$171.13

Share Price '28

US$171.13 Share Price '28

Discounted to 2025 @ 6.96% p.a.

=

US$139.86

Fair Value '25