Encompass HealthEHC +2.35%88 EV-to-FCF is 29.43 as of Jun. 25, 2026, which is 18% below its 10-year median of 35.73. GuruFocus rates EHC with a GF Score™ of 88/100 and a GF Value™ of $111.61 (Fairly Valued). The stock has 1 warning sign investors should review. Among 410 Healthcare Providers & Services companies, Encompass Health ranks worse than 71.46% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, Encompass Health's Enterprise Value is $13,668 Mil.
Encompass Health's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 was $464 Mil. Therefore, Encompass Health's EV-to-FCF for today is 29.43.
The historical rank and industry rank for Encompass Health's EV-to-FCF or its related term are showing as below:
EHC'
s EV-to-FCF Range Over the Past 10 Years
Min: 14.09 Med: 35.73 Max: 116.46
Current: 29.43
During the past 13 years, the highest EV-to-FCF of Encompass Health was 116.46. The lowest was 14.09. And the median was 35.73.
EHC's EV-to-FCF is ranked worse than 71.46% of 410
companies
in the Healthcare Providers & Services industry
Industry Median: 17.47
vs EHC: 29.43
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Encompass Health's PE Ratio (TTM) for today is calculated as:
Encompass Health's share price for today is $102.25.
Encompass Health's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $5.990.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
Encompass Health EV-to-FCF Related Terms
Encompass Health EV-to-FCF Historical Data
* Premium members only.
The historical data trend for Encompass Health's EV-to-FCF can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Medical Care Facilities subindustry, Encompass Health's EV-to-FCF, along with its competitors' market caps and EV-to-FCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Encompass Health EV-to-FCF vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Encompass Health's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where Encompass Health's EV-to-FCF falls into.
Encompass Health's current Enterprise Value is $13,668 Mil.
Encompass Health's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $464 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Encompass Health (EHC) has a EV-to-FCF of 29.43 as of Jun. 25, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Encompass Health and its competitors. This is 18% below median its historical median of 35.73. Over the past decade, Encompass Health's EV-to-FCF has ranged from 14.09 to 116.46. According to the industry distribution chart, Encompass Health ranks #293 out of 410 companies in the Healthcare Providers & Services industry, placing it in the top 71.5%.
Is Encompass Health's EV-to-FCF too high?
Encompass Health's current EV-to-FCF of 29.43 is 18% below median its 10-year median of 35.73. Over the past 10 years, this metric has ranged from a low of 14.09 to a high of 116.46. The Healthcare Providers & Services industry median EV-to-FCF is 17.47. Encompass Health's value of 29.43 is 68.5% above this industry median. Based on the distribution chart, Encompass Health ranks #293 out of 410 companies in the Healthcare Providers & Services industry, which is below the industry midpoint. Overall, Encompass Health has a GF Score™ of 88/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Encompass Health's EV-to-FCF compare to ENSG and UHS?
According to the Healthcare Providers & Services industry distribution chart, Encompass Health ranks #293 out of 410 companies for EV-to-FCF. This places Encompass Health in the lower half of its industry. The industry median EV-to-FCF is 17.47. Encompass Health's value of 29.43 is 68.5% above this benchmark. Historically, Encompass Health's own EV-to-FCF has ranged from 14.09 to 116.46 over the past decade. While the company's 10-year median is 35.73 vs. the industry median of 17.47, Encompass Health has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-FCF for a Healthcare Providers & Services company?
The median EV-to-FCF among Healthcare Providers & Services companies is 17.47, based on 410 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Encompass Health's current EV-to-FCF of 29.43 is 68.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Encompass Health and its competitors. For the Healthcare Providers & Services industry, the median EV-to-FCF is 17.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Encompass Health's current EV-to-FCF is 29.43, which is 18% below median its own 10-year median of 35.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Encompass Health stock overvalued right now?
Based on GuruFocus' analysis, Encompass Health (EHC) is currently considered Fairly Valued. The stock's GF Value™ is $111.61, compared to a current price of $102.25 — trading 8.4% below its estimated fair value. The current EV-to-FCF is 29.43, which is 18% below median its 10-year median of 35.73 and 68.5% above the Healthcare Providers & Services industry median of 17.47. Encompass Health's overall GF Score™ is 88/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For Encompass Health (EHC), the current EV-to-FCF is 29.43 as of Jun. 25, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Encompass Health (EHC) Overvalued in 2026?
Based on GuruFocus' analysis, Encompass Health stock appears to be undervalued.
The current stock price of $102.25 is trading 8.4% below its estimated GF Value™ of $111.61.
GuruFocus considers Encompass Health to be Fairly Valued.
Key valuation signals for EHC:
EV-to-FCF: 29.43 (18% below median its 10-year median of 35.73)
GF Value™: $111.61 vs. price of $102.25 (8.4% below fair value)
Industry Position: 68.5% above the Healthcare Providers & Services median (#293 of 410)
No single metric tells the full story. See the EHC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Encompass Health Corp provides post-acute healthcare services in the United States through a network of inpatient rehabilitation hospitals, which is the company's sole segment. Inpatient rehabilitation contributes the majority of the firm's revenue and provides specialized rehabilitative treatment through a network of inpatient hospitals. The company's inpatient rehabilitation hospitals provide a higher level of rehabilitative care to patients who are recovering from conditions such as stroke and other neurological disorders, cardiac and pulmonary conditions, brain and spinal cord injuries, complex orthopedic conditions, and amputations.
88GF Score
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