Encompass Gross Profit Margin from 2010 to 2024

EHC Stock  USD 87.09  0.24  0.28%   
Encompass Health's Gross Profit Margin is decreasing over the years with very volatile fluctuation. Gross Profit Margin is expected to dwindle to 0.18. During the period from 2010 to 2024 Encompass Health Gross Profit Margin annual values regression line had geometric mean of  0.67 and mean square error of  0.11. View All Fundamentals
 
Gross Profit Margin  
First Reported
2010-12-31
Previous Quarter
0.19443056
Current Value
0.18
Quarterly Volatility
0.32305743
 
Credit Downgrade
 
Yuan Drop
 
Covid
Check Encompass Health financial statements over time to gain insight into future company performance. You can evaluate financial statements to find patterns among Encompass main balance sheet or income statement drivers, such as Depreciation And Amortization of 158 M, Interest Expense of 94.2 M or Total Revenue of 2.8 B, as well as many exotic indicators such as Price To Sales Ratio of 2.5, Dividend Yield of 0.0086 or PTB Ratio of 4.23. Encompass financial statements analysis is a perfect complement when working with Encompass Health Valuation or Volatility modules.
  
This module can also supplement Encompass Health's financial leverage analysis and stock options assessment as well as various Encompass Health Technical models . Check out the analysis of Encompass Health Correlation against competitors.

Latest Encompass Health's Gross Profit Margin Growth Pattern

Below is the plot of the Gross Profit Margin of Encompass Health Corp over the last few years. It is Encompass Health's Gross Profit Margin historical data analysis aims to capture in quantitative terms the overall pattern of either growth or decline in Encompass Health's overall financial position and show how it may be relating to other accounts over time.
Gross Profit Margin10 Years Trend
Very volatile
   Gross Profit Margin   
       Timeline  

Encompass Gross Profit Margin Regression Statistics

Arithmetic Mean0.77
Geometric Mean0.67
Coefficient Of Variation41.90
Mean Deviation0.27
Median0.95
Standard Deviation0.32
Sample Variance0.10
Range0.7835
R-Value(0.09)
Mean Square Error0.11
R-Squared0.01
Significance0.76
Slope(0.01)
Total Sum of Squares1.46

Encompass Gross Profit Margin History

2024 0.18
2023 0.19
2015 0.96
2012 0.95
2011 0.35
2010 0.3

About Encompass Health Financial Statements

There are typically three primary documents that fall into the category of financial statements. These documents include Encompass Health income statement, its balance sheet, and the statement of cash flows. Encompass Health investors use historical funamental indicators, such as Encompass Health's Gross Profit Margin, to determine how well the company is positioned to perform in the future. Although Encompass Health investors may use each financial statement separately, they are all related. The changes in Encompass Health's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Encompass Health's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. We offer a historical overview of the basic patterns found on Encompass Health Financial Statements. Understanding these patterns can help to make the right decision on long term investment in Encompass Health. Please read more on our technical analysis and fundamental analysis pages.
Last ReportedProjected for Next Year
Gross Profit Margin 0.19  0.18 

Pair Trading with Encompass Health

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Encompass Health position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Encompass Health will appreciate offsetting losses from the drop in the long position's value.

Moving together with Encompass Stock

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Moving against Encompass Stock

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The ability to find closely correlated positions to Encompass Health could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Encompass Health when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Encompass Health - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Encompass Health Corp to buy it.
The correlation of Encompass Health is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Encompass Health moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Encompass Health Corp moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Encompass Health can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching
When determining whether Encompass Health Corp offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Encompass Health's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Encompass Health Corp Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Encompass Health Corp Stock:
Check out the analysis of Encompass Health Correlation against competitors.
Note that the Encompass Health Corp information on this page should be used as a complementary analysis to other Encompass Health's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.

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When running Encompass Health's price analysis, check to measure Encompass Health's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Encompass Health is operating at the current time. Most of Encompass Health's value examination focuses on studying past and present price action to predict the probability of Encompass Health's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Encompass Health's price. Additionally, you may evaluate how the addition of Encompass Health to your portfolios can decrease your overall portfolio volatility.
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Is Encompass Health's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Encompass Health. If investors know Encompass will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Encompass Health listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.266
Dividend Share
0.6
Earnings Share
3.82
Revenue Per Share
49.767
Quarterly Revenue Growth
0.134
The market value of Encompass Health Corp is measured differently than its book value, which is the value of Encompass that is recorded on the company's balance sheet. Investors also form their own opinion of Encompass Health's value that differs from its market value or its book value, called intrinsic value, which is Encompass Health's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Encompass Health's market value can be influenced by many factors that don't directly affect Encompass Health's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Encompass Health's value and its price as these two are different measures arrived at by different means. Investors typically determine if Encompass Health is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Encompass Health's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.