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Encompass Health ( (EHC) ) has issued an announcement.
On May 14, 2026, Encompass Health announced it had entered into a purchase agreement with Wells Fargo Securities to issue $500 million of 5.875% senior unsecured notes due 2034 in a private offering, with closing expected around May 29, 2026. The notes, priced at par and guaranteed by certain subsidiaries, will be sold to qualified institutional buyers under Rule 144A and to non-U.S. investors under Regulation S, reflecting continued access to capital markets and reliance on long-standing banking relationships.
The company plans to use the proceeds, alongside cash on hand, to redeem $400 million of its 4.500% senior notes due 2028 at par and to repay $100 million under its senior secured revolving credit facility, as well as to cover related fees and expenses. This refinancing is set to extend Encompass Health’s debt maturity profile and re-balance its capital structure, which may support financial flexibility for ongoing operations in the inpatient rehabilitation sector and offer clarity to bondholders and lenders about its liability management strategy.
The most recent analyst rating on (EHC) stock is a Buy with a $140.00 price target. To see the full list of analyst forecasts on Encompass Health stock, see the EHC Stock Forecast page.
Spark’s Take on EHC Stock
According to Spark, TipRanks’ AI Analyst, EHC is a Outperform.
The score is driven mainly by solid underlying financial performance and a notably strong earnings call featuring raised 2026 guidance and robust operating trends. Valuation is supportive with a low P/E, while the technical picture is mixed and recent free-cash-flow conversion weakness is the key offset.
To see Spark’s full report on EHC stock, click here.
More about Encompass Health
Encompass Health Corp., listed on the NYSE as EHC, is the largest owner and operator of inpatient rehabilitation hospitals in the United States. With 175 hospitals across 39 states and Puerto Rico, it focuses on high-quality rehabilitative care for patients recovering from major injuries or illnesses, leveraging advanced technology and earning repeated recognition from outlets such as Newsweek, Fortune and Forbes for its performance and workplace culture.
Average Trading Volume: 981,076
Technical Sentiment Signal: Buy
Current Market Cap: $10.64B
For detailed information about EHC stock, go to TipRanks’ Stock Analysis page.