Encompass Health increases quarterly dividend to $0.19 per share

BIRMINGHAM, Ala. - Encompass Health Corp. (NYSE:EHC), an $11 billion market cap healthcare provider, announced Thursday that its board of directors has approved a $0.02 increase to the company’s quarterly dividend, bringing it to $0.19 per share. This continues the company’s 13-year track record of consistent dividend payments, according to InvestingPro data.

The dividend will be payable on October 15, 2025, to shareholders of record as of October 1, 2025, according to a press release statement from the company.

Encompass Health, which describes itself as the largest owner and operator of inpatient rehabilitation hospitals in the United States, currently operates 169 hospitals across 38 states and Puerto Rico.

The company provides rehabilitative care for patients recovering from major injuries or illnesses. Encompass Health’s national footprint includes facilities that utilize advanced technology for patient recovery.

The dividend announcement represents an approximately 11.8 percent increase from the company’s previous quarterly dividend payment.

Encompass Health noted in its statement that future dividend decisions remain subject to board approval and various factors including regulatory developments, economic conditions, and the company’s financial performance.

In other recent news, Encompass Health Corp. announced plans to build two new rehabilitation hospitals. A 40-bed facility is set to open in Cleveland, Tennessee, by 2026, while a 50-bed hospital is planned for North Las Vegas, Nevada. These expansions are part of the company’s ongoing efforts to meet the growing demand for specialized inpatient rehabilitation services. Meanwhile, a New York Times report raised safety concerns about rehabilitation hospitals, including those operated by Encompass Health, noting incidents of patient harm and below-average performance on Medicare safety measures. In analyst updates, KeyBanc Capital Markets increased its price target for Encompass Health to $135, maintaining an Overweight rating. The firm cited a supply-demand imbalance in the inpatient rehabilitation facility sector, which is expected to boost patient volume growth. Key factors include an aging population and regulatory conditions that support expansion. These developments reflect a complex landscape for Encompass Health as it navigates growth and safety challenges.

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