Home / Stocks / EHC

Encompass Health (EHC, Hospitals & clinics) Stock Valuation & Fair Value

Significantly overvalued

Encompass Health (EHC, Hospitals & clinics) trades at a current P/E of 22.4, about 51% above its historical normal valuation, with a forward growth estimate of 10.4% and a PEG of 2.16. Analysts' one-year estimates have been hit 45% of the time. Priced at its historical normal P/E of 14.8 on the same blended earnings, the 2026-11-06 close of $137.54 corresponds to about $90.80 a share. This is a valuation reference, not a price target.

How to read these numbers: the PEG ratio and current P/E versus normal P/E.

Current P/E
22.4
Normal P/E
14.8
PEG
2.16
Fwd growth
10.4%
Div yield
0.6%
RSI (14)
63.5
Neutral
Technical context
  • Price $137.54 at the Nov 6 close, 7.0% above the 20-day average ($128.59) and 10.3% above the 50-day ($124.65).
  • RSI (14) at 63.5.
  • 52-week range $93.47 to $141.27: the price is 2.6% below the high and 47.1% above the low.

The Street vs SeerForecast

Wall Street's mean price target for EHC is $154.42 across 12 analysts, 12.3% above the current price. The average analyst rating is Strong Buy. Our SeerForecast read of the same stock, formed without analyst targets: significantly overvalued. When the two disagree, start your digging there.

Valuation flags

Verdict history

tickerseer's rating moved from trading above its usual valuation (2026-07-31) to significantly overvalued (2026-11-02). New rating rules took effect in the week of 2026-09-28, and this rating moved across that change, so part of the move may come from the new rules rather than the company.

Current P/E and rating by weekCurrent P/E moved from 19.2 to 22.1 between 2026-07-31 and 2026-10-30, against a normal P/E of 14.8, with 7 rating changes over 14 recorded weeks.2026-07-31: P/E 19.2, Trading above its usual valuation, recalculated for the week of 2026-07-312026-07-31: P/E 19.2, Trading above its usual valuation, recorded live 2026-08-032026-08-07: P/E 19.2, Trading above its usual valuation, recalculated for the week of 2026-08-072026-08-07: P/E 21.4, Significantly overvalued, recorded live 2026-08-102026-08-14: P/E 21.4, Significantly overvalued, recalculated for the week of 2026-08-142026-08-14: P/E 21.0, Significantly overvalued, recorded live 2026-08-172026-08-21: P/E 21.0, Significantly overvalued, recalculated for the week of 2026-08-212026-08-21: P/E 20.4, Trading above its usual valuation, recorded live 2026-08-242026-08-27: P/E 20.4, Trading above its usual valuation, recalculated for the week of 2026-08-272026-08-28: P/E 20.4, Trading above its usual valuation, recalculated for the week of 2026-08-282026-08-28: P/E 20.4, Trading above its usual valuation, recalculated for the week of 2026-08-302026-08-28: P/E 20.5, Trading above its usual valuation, recorded live 2026-08-312026-09-04: P/E 20.5, Trading above its usual valuation, recalculated for the week of 2026-09-052026-09-04: P/E 20.6, Trading above its usual valuation, recorded live 2026-09-072026-09-11: P/E 20.6, Trading above its usual valuation, recalculated for the week of 2026-09-122026-09-11: P/E 20.5, Trading above its usual valuation, recorded live 2026-09-142026-09-18: P/E 20.5, Trading above its usual valuation, recalculated for the week of 2026-09-192026-09-18: P/E 20.5, Trading above its usual valuation, recorded live 2026-09-212026-09-25: P/E 20.5, Trading above its usual valuation, recalculated for the week of 2026-09-262026-09-25: P/E 20.7, Significantly overvalued, recorded live 2026-09-282026-10-02: P/E 20.7, Significantly overvalued, recalculated for the week of 2026-10-032026-10-02: P/E 20.1, Trading above its usual valuation, recorded live 2026-10-052026-10-09: P/E 20.1, Trading above its usual valuation, recalculated for the week of 2026-10-102026-10-09: P/E 20.6, Trading above its usual valuation, recorded live 2026-10-122026-10-16: P/E 20.6, Trading above its usual valuation, recalculated for the week of 2026-10-172026-10-16: P/E 21.3, Significantly overvalued, recorded live 2026-10-192026-10-23: P/E 20.6, Trading above its usual valuation, recorded live 2026-10-262026-10-30: P/E 20.6, Trading above its usual valuation, recalculated for the week of 2026-10-312026-10-30: P/E 22.1, Significantly overvalued, recorded live 2026-11-0216.018.020.022.0Jul 31Aug 23Sep 15Oct 7Oct 30Normal P/E 14.8
Trading above its usual valuationSignificantly overvaluedLarger dot: a stronger reading

Not every point was recorded live. Points marked recalculated are worked out from the metrics tickerseer archived that week.

Selected weeks: the first, the latest, every week the rating moved, and the cheapest and dearest.

WeekCurrent P/EPremium to normal P/ERating
2026-07-31P/E 19.2+30%Trading above its usual valuation (recalculated)
2026-08-10P/E 21.4+45%Significantly overvalued
2026-08-24P/E 20.4+38%Trading above its usual valuation
2026-09-28P/E 20.7+40%Significantly overvalued (across a rating rules change)
2026-10-05P/E 20.1+36%Trading above its usual valuation
2026-10-19P/E 21.3+44%Significantly overvalued (across a rating rules change)
2026-10-26P/E 20.6+40%Trading above its usual valuation
2026-11-02P/E 22.1+50%Significantly overvalued ← now
Show all 29 readings
WeekCurrent P/EPremium to normal P/ERating
2026-07-31P/E 19.2+30%Trading above its usual valuation (recalculated)
2026-08-03P/E 19.2+30%Trading above its usual valuation
2026-08-07P/E 19.2+30%Trading above its usual valuation (recalculated)
2026-08-10P/E 21.4+45%Significantly overvalued
2026-08-14P/E 21.4+45%Significantly overvalued (recalculated)
2026-08-17P/E 21.0+42%Significantly overvalued
2026-08-21P/E 21.0+42%Significantly overvalued (recalculated)
2026-08-24P/E 20.4+38%Trading above its usual valuation
2026-08-27P/E 20.4+38%Trading above its usual valuation (recalculated)
2026-08-28P/E 20.4+38%Trading above its usual valuation (recalculated)
2026-08-30P/E 20.4+38%Trading above its usual valuation (recalculated)
2026-08-31P/E 20.5+38%Trading above its usual valuation
2026-09-05P/E 20.5+38%Trading above its usual valuation (recalculated)
2026-09-07P/E 20.6+39%Trading above its usual valuation
2026-09-12P/E 20.6+39%Trading above its usual valuation (recalculated)
2026-09-14P/E 20.5+39%Trading above its usual valuation
2026-09-19P/E 20.5+39%Trading above its usual valuation (recalculated)
2026-09-21P/E 20.5+39%Trading above its usual valuation
2026-09-26P/E 20.5+39%Trading above its usual valuation (recalculated)
2026-09-28P/E 20.7+40%Significantly overvalued (across a rating rules change)
2026-10-03P/E 20.7+40%Significantly overvalued (recalculated)
2026-10-05P/E 20.1+36%Trading above its usual valuation
2026-10-10P/E 20.1+36%Trading above its usual valuation (recalculated)
2026-10-12P/E 20.6+39%Trading above its usual valuation
2026-10-17P/E 20.6+39%Trading above its usual valuation (recalculated)
2026-10-19P/E 21.3+44%Significantly overvalued (across a rating rules change)
2026-10-26P/E 20.6+40%Trading above its usual valuation
2026-10-31P/E 20.6+40%Trading above its usual valuation (recalculated)
2026-11-02P/E 22.1+50%Significantly overvalued ← now

Frequently asked questions

Is Encompass Health stock overvalued?

At a current P/E of 22.4 versus its historical normal P/E of 14.8, Encompass Health trades about 51% above its typical valuation, with a PEG of 2.16 on 10.4% forward growth. tickerseer currently rates it significantly overvalued.

What is Encompass Health's fair value and PEG?

Encompass Health trades at a current P/E of 22.4 against a historical normal P/E of 14.8, a PEG of 2.16, and a forward growth estimate of 10.4%. Priced at its historical normal P/E of 14.8 on the same blended earnings, the 2026-11-06 close of $137.54 corresponds to about $90.80 a share. This is a valuation reference, not a price target.

Has tickerseer's rating of Encompass Health changed?

tickerseer's rating moved from trading above its usual valuation (2026-07-31) to significantly overvalued (2026-11-02). New rating rules took effect in the week of 2026-09-28, and this rating moved across that change, so part of the move may come from the new rules rather than the company.

What is the analyst price target for Encompass Health?

The mean Wall Street price target for Encompass Health is $154.42 across 12 analysts, 12.3% above the current price. tickerseer's SeerForecast verdict is formed independently of analyst targets.

Industry: Hospitals & clinics. Create a free account to see the full analysis: the SeerAI score, its five quality sub-scores, valuation history, and an AI research note where we have one. Options setups and metric history are part of the paid plans.

Get the free weekly earnings preview

One email each Monday with the week's named earnings setups, the reasoning, and what settled last week. Strikes and sizing stay in Premium.

It's free, and you can unsubscribe any time. We also send a short product update once a month. Educational content, not investment advice.