Enhabit selloff after Q4 report ‘unwarranted,’ says Jefferies

Jefferies analyst Brian Tanquilut maintains a Buy rating and $9.50 price target on Enhabit (EHAB) following Q4 results the firm calls “good enough” and FY25 guidance bracketing consensus. The firm sees indicators of stabilizing fundamentals that it believes will “drive gradual multiple expansion” and remains positive given the relatively low valuation, low levels of political and regulatory risk, and potential EBITDA upside, calling the post-earnings selloff “unwarranted.”