Encompass Health Corp Stock Fundamentals
| EHC Stock | USD 82.46 2.13 2.65% |
Encompass Health Corp fundamentals help investors to digest information that contributes to Encompass Health's financial success or failures. It also enables traders to predict the movement of Encompass Stock. The fundamental analysis module provides a way to measure Encompass Health's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Encompass Health stock.
At present, Encompass Health's Income Before Tax is projected to increase significantly based on the last few years of reporting. The current year's Net Income is expected to grow to about 369.6 M, whereas Depreciation And Amortization is forecasted to decline to about 158 M. Encompass | Select Account or Indicator |
Encompass Health Corp Company Operating Margin Analysis
Encompass Health's Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
Current Encompass Health Operating Margin | 0.15 % |
Most of Encompass Health's fundamental indicators, such as Operating Margin, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Encompass Health Corp is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Encompass Operating Margin Historical Pattern
Today, most investors in Encompass Health Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Encompass Health's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's operating margin growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Encompass Health operating margin as a starting point in their analysis.
Encompass Health Operating Margin |
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A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
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Encompass Pretax Profit Margin
Pretax Profit Margin |
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Based on the recorded statements, Encompass Health Corp has an Operating Margin of 0.1523%. This is 100.43% lower than that of the Health Care Providers & Services sector and significantly higher than that of the Health Care industry. The operating margin for all United States stocks is 102.76% lower than that of the firm.
Encompass Health Corp Fundamental Drivers Relationships
Comparative valuation techniques use various fundamental indicators to help in determining Encompass Health's current stock value. Our valuation model uses many indicators to compare Encompass Health value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Encompass Health competition to find correlations between indicators driving Encompass Health's intrinsic value. More Info.Encompass Health Corp is one of the top stocks in return on equity category among related companies. It is one of the top stocks in return on asset category among related companies reporting about 0.34 of Return On Asset per Return On Equity. The ratio of Return On Equity to Return On Asset for Encompass Health Corp is roughly 2.93 . At present, Encompass Health's Return On Equity is projected to slightly decrease based on the last few years of reporting.Comparative valuation analysis is a catch-all model that can be used if you cannot value Encompass Health by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Encompass Health's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Encompass Health's earnings, one of the primary drivers of an investment's value.Encompass Operating Margin Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Encompass Health's direct or indirect competition against its Operating Margin to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Encompass Health could also be used in its relative valuation, which is a method of valuing Encompass Health by comparing valuation metrics of similar companies.Encompass Health is currently under evaluation in operating margin category among related companies.
Encompass Fundamentals
| Return On Equity | 0.23 | ||||
| Return On Asset | 0.0779 | ||||
| Profit Margin | 0.07 % | ||||
| Operating Margin | 0.15 % | ||||
| Current Valuation | 11.8 B | ||||
| Shares Outstanding | 100.14 M | ||||
| Shares Owned By Insiders | 1.42 % | ||||
| Shares Owned By Institutions | 98.58 % | ||||
| Number Of Shares Shorted | 2.47 M | ||||
| Price To Earning | 18.73 X | ||||
| Price To Book | 4.89 X | ||||
| Price To Sales | 1.68 X | ||||
| Revenue | 4.8 B | ||||
| Gross Profit | 1.75 B | ||||
| EBITDA | 1.01 B | ||||
| Net Income | 361.6 M | ||||
| Cash And Equivalents | 21.8 M | ||||
| Cash Per Share | 0.60 X | ||||
| Total Debt | 2.93 B | ||||
| Debt To Equity | 1.69 % | ||||
| Current Ratio | 1.21 X | ||||
| Book Value Per Share | 16.43 X | ||||
| Cash Flow From Operations | 850.8 M | ||||
| Short Ratio | 3.66 X | ||||
| Earnings Per Share | 3.60 X | ||||
| Price To Earnings To Growth | 1.37 X | ||||
| Target Price | 89.2 | ||||
| Number Of Employees | 22.36 K | ||||
| Beta | 0.83 | ||||
| Market Capitalization | 8.29 B | ||||
| Total Asset | 6.1 B | ||||
| Retained Earnings | 406.5 M | ||||
| Working Capital | 185.4 M | ||||
| Current Asset | 659.58 M | ||||
| Current Liabilities | 474.74 M | ||||
| Annual Yield | 0.01 % | ||||
| Five Year Return | 1.65 % | ||||
| Net Asset | 6.1 B | ||||
| Last Dividend Paid | 0.6 |
About Encompass Health Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Encompass Health Corp's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Encompass Health using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Encompass Health Corp based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.| Last Reported | Projected for Next Year | ||
| Current Deferred Revenue | 95.5 M | 138.4 M | |
| Total Revenue | 4.8 B | 2.8 B | |
| Cost Of Revenue | 3.9 B | 4.1 B | |
| Stock Based Compensation To Revenue | 0.01 | 0.01 | |
| Sales General And Administrative To Revenue | 0.60 | 0.63 | |
| Research And Ddevelopement To Revenue | 0.00 | 0.00 | |
| Capex To Revenue | (0.12) | (0.13) | |
| Revenue Per Share | 48.25 | 24.57 | |
| Ebit Per Revenue | 0.15 | 0.14 |
Pair Trading with Encompass Health
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Encompass Health position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Encompass Health will appreciate offsetting losses from the drop in the long position's value.Moving against Encompass Stock
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| 0.47 | PFE | Pfizer Inc Earnings Call This Week | PairCorr |
The ability to find closely correlated positions to Encompass Health could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Encompass Health when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Encompass Health - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Encompass Health Corp to buy it.
The correlation of Encompass Health is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Encompass Health moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Encompass Health Corp moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Encompass Health can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Encompass Health Piotroski F Score and Encompass Health Altman Z Score analysis. Note that the Encompass Health Corp information on this page should be used as a complementary analysis to other Encompass Health's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Complementary Tools for Encompass Stock analysis
When running Encompass Health's price analysis, check to measure Encompass Health's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Encompass Health is operating at the current time. Most of Encompass Health's value examination focuses on studying past and present price action to predict the probability of Encompass Health's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Encompass Health's price. Additionally, you may evaluate how the addition of Encompass Health to your portfolios can decrease your overall portfolio volatility.
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| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
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Is Encompass Health's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Encompass Health. If investors know Encompass will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Encompass Health listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.03) | Dividend Share 0.6 | Earnings Share 3.6 | Revenue Per Share 48.253 | Quarterly Revenue Growth 0.096 |
The market value of Encompass Health Corp is measured differently than its book value, which is the value of Encompass that is recorded on the company's balance sheet. Investors also form their own opinion of Encompass Health's value that differs from its market value or its book value, called intrinsic value, which is Encompass Health's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Encompass Health's market value can be influenced by many factors that don't directly affect Encompass Health's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Encompass Health's value and its price as these two are different measures arrived at by different means. Investors typically determine if Encompass Health is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Encompass Health's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.