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Encompass Health Corporation EHC NYSE

NYSE • Healthcare • Medical - Care Facilities • US • USD

SharesGrow Score
70/100
3/7 Pass
SharesGrow Intrinsic Value
$88.55
-17%
Analyst Price Target
$153.00
+43.4%
SharesGrow 7-Criteria Score All 7 criteria scored · valuation-related highlighted on this page

Encompass Health Corporation (EHC) trades at a trailing P/E of 18.9, forward P/E of 18.0. Trailing earnings yield is 5.29%, forward earnings yield 5.55%. PEG 0.77 (Peter Lynch undervalued ≤1.0). Graham Number is $64.47.

Criteria proven by this page:

  • VALUE (52/100, Partial) — mixed signals — some valuation metrics are favorable while others are stretched.
  • Forward P/E 18.0 (down from trailing 18.9) — analysts expect earnings to grow, which would improve the valuation.
  • PEG Ratio 0.77 — below 1.0 suggests the stock is undervalued relative to its earnings growth rate (Peter Lynch criterion).
  • Trailing Earnings Yield 5.29% — exceeds typical bond yields (~4.3%), making equity attractive vs fixed income. Forward yield improves to 5.55% as earnings recover.
  • Analyst consensus target $153.00 (+43.4% upside) — significant upside potential according to Wall Street analysts.

Overall SharesGrow Score: 70/100 with 3/7 criteria passed.

SharesGrow 7-Criteria Score
70/100
SG Score
View full scorecard →
~
VALUE
52/100
Price-to-Earnings & upside
Proven by this page
FUTURE
94/100
Analyst consensus
→ Forecast
PAST
100/100
→ Income
~
HEALTH
67/100
Debt-to-Equity & liquidity
→ Health
MOAT
44/100
→ Income
GROWTH
90/100
→ Income
~
INCOME
45/100
→ Income

Valuation Snapshot — EHC

Valuation Multiples
P/E (TTM)18.9
Forward P/E18.0
PEG Ratio0.77
Forward PEG2.73
P/B Ratio4.39
P/S Ratio1.81
EV/EBITDA9.5
Per Share Data
EPS (TTM)$5.65
Forward EPS (Est.)$5.92
Book Value / Share$32.69
Revenue / Share$59.23
FCF / Share$4.38
Yields & Fair Value
Earnings Yield5.29%
Forward Earnings Yield5.55%
Dividend Yield0.69%
Graham Number$64.47
SharesGrow IV$88.55 (-17%)
Analyst Target$153.00 (+43.4%)

Historical Valuation

Year P/E (TTM) PEG Ratio P/B Ratio P/S Ratio Dividend Yield
2016 11.8 0.32 3.97 0.80 2.87%
2017 13.6 -9.40 3.12 0.94 2.49%
2018 16.4 1.73 3.61 1.12 2.10%
2019 15.0 0.68 3.99 1.17 2.01%
2020 22.8 -1.07 4.08 1.82 1.73%
2021 12.5 0.28 2.69 1.28 2.18%
2022 21.9 -0.64 4.53 1.36 1.67%
2023 18.9 0.63 4.03 1.38 0.91%
2024 20.2 0.72 4.46 1.72 0.68%
2025 18.8 0.78 4.37 1.80 0.67%

EPS: Actual vs Estimates

P/E Ratio & Earnings Yield

Earnings Per Share (EPS) History

Year EPS (Diluted) Revenue Net Income Net Margin
2016 $2.59 $3.65B $247.6M 6.8%
2017 $2.69 $3.92B $256.3M 6.5%
2018 $2.93 $4.28B $292.3M 6.8%
2019 $3.61 $4.61B $358.7M 7.8%
2020 $2.85 $4.64B $284.2M 6.1%
2021 $4.11 $5.12B $412.2M 8%
2022 $2.70 $4.35B $271M 6.2%
2023 $3.47 $4.8B $352M 7.3%
2024 $4.46 $5.37B $455.7M 8.5%
2025 $5.55 $5.94B $566.2M 9.5%

Analyst Estimates

Year EPS (Avg) EPS Range Revenue (Avg) Revenue Range Analysts
2026 $5.92 $5.52 – $6.05 $6.42B $6.4B – $6.43B 8
2027 $6.47 $6.05 – $6.65 $6.94B $6.89B – $7B 8
2028 $7.04 $6.95 – $7.12 $7.45B $7.45B – $7.45B 2
2029 $7.69 $7.65 – $7.76 $7.94B $7.9B – $7.99B 1
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