Encompass Health price target raised to $130 from $120 at Raymond James

Raymond James raised the firm’s price target on Encompass Health (EHC) to $130 from $120 and keeps a Strong Buy rating on the shares. Encompass Health’s Q1 results were better than expected amid better than predicted discharge volume and labor expense, and also benefited from $3M of Medicaid supplemental payments, the analyst tells investors in a research note. The company also raised its medium term bed-addition guidance and planning to add 100-120 beds to existing facilities going forward, up from 100, to meet the ongoing strong demand, the firm says.