Overview

* Encompass Health ( EHC ) Q3 net operating revenue grows 9.4% yr/yr, beating analyst expectations, per LSEG data

* Adjusted EPS for Q3 beats analyst expectations, reflecting strong operational performance

* Company raises full-year 2025 guidance, indicating confidence in future growth

Outlook

* Company raises full-year 2025 net operating revenue guidance to $5.905-$5.955 bln

* Encompass Health ( EHC ) updates 2025 adjusted EBITDA guidance to $1.235-$1.255 bln

* Company revises 2025 adjusted EPS guidance to $5.22-$5.37

Result Drivers

* EXPANSION - Opened three new hospitals, including first in Connecticut, and added 39 beds to existing hospitals, boosting capacity

* DISCHARGE GROWTH - Increased patient discharges by 5%, with same-store discharge growth of 2.9%

* RECOGNITION - Named America's Most Awarded Leader in Inpatient Rehabilitation by Newsweek and Statista for sixth consecutive year

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 $1.47

Operatin bln

g

Revenue

Q3 Beat $1.23 $1.20

Adjusted (12

EPS Analysts

)

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the healthcare facilities & services peer group is "buy"

* Wall Street's median 12-month price target for Encompass Health Corp ( EHC ) is $137.50, about 8.2% above its October 28 closing price of $126.28

* The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 23 three months ago

Press Release:

For questions concerning the data in this report, contact [email protected]. For any other questions or feedback, contact .

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)