Encompass Health Corp

Encompass Health Corporation (NYSE: EHC) is the largest owner and operator of inpatient rehabilitation hospitals (IRFs) in the United States.

- **Footprint:** A national network of 179 hospitals in 39 states and Puerto Rico, of which 67 are joint ventures, typically with acute care health systems. It also operates 9 remote locations.
- **Services:** Rehabilitative care for patients recovering from major injuries or illnesses such as stroke, hip fracture and other non-discretionary conditions, mostly in an aging population.
- **Scale:** Roughly 44,000 employees, about 273,500 patient discharges and about $6.3 billion in revenue over the trailing four quarters.
- **Revenue mix:** Revenue is overwhelmingly inpatient, with a small 'Other' category covering outpatient services and Medicaid supplemental payments. Medicare is the dominant payor at 66.3% of Q3 2026 revenue, followed by Medicare Advantage at 15.7% and managed care at 10.8%.
- **Growth model:** Capacity expansion through 6–10 de novo hospitals per year, bed additions to existing hospitals, and a new small format hospital (20–30 beds) hub-and-spoke model with first openings in 2027. Seventeen IRF projects are under development.
- **Capital returns:** Excess cash flow funds a quarterly dividend of $0.21 per share and a $1 billion share repurchase authorization.
- **Regulatory exposure:** Key regulatory factors include CMS's Review Choice Demonstration and the TEAM bundled payment model. Updated Oct 28, 2026