Enhabit, Inc (EHAB)

In the past six months, Enhabit, Inc. has participated in healthcare conferences, reported strong hospice growth in its second-quarter 2025 financial results, and announced a CEO transition plan. The stock has been impacted by proposed Medicare cuts, leading to investment fund share sales and valuation reductions. Enhabit has advocated against these cuts and disengaged from some Medicare Advantage payers due to challenging negotiations. The company also announced its third-quarter 2025 earnings call for November 2025.

Demand for Enhabit's home health and hospice services generally exhibits seasonality. The winter holidays and weeks following are typically the busiest. Summers can vary, with some providers experiencing consistent business while others, particularly in warm-weather states, may see a "summer slump" due to snowbirds returning home. Summer can also bring increased inquiries as families visiting loved ones notice a need for in-home care. Home care agencies may use the summer for staff retraining and program development.

Enhabit, Inc. is a healthcare services provider specializing in home health and hospice care, formed in 2022 from Encompass Health's spin-off, with roots dating back to 1998. The company operates in the Medical Care Facilities and Services-home Health Care Services industry, focusing on patient-centered care at home. Its services include home health services like skilled nursing, physical therapy, and chronic condition management, as well as hospice care services such as pain management, counseling, and end-of-life support.

Enhabit, Inc. operates across 34 states in the United States, with approximately 249 to 255 home health locations and 110 to 114 hospice locations. The company has a significant presence in Texas, Alabama, Florida, Georgia, Oklahoma, and Mississippi.

Enhabit, Inc. has a positive brand reputation, recognized by Fortune and Modern Healthcare for its workplace culture. The company emphasizes quality, compliance, and patient satisfaction. Broader industry challenges, such as proposed Medicare reimbursement rate cuts and disengagement from certain Medicare Advantage payers, could pose challenges within the healthcare community.

Enhabit, Inc. is primarily owned by institutional shareholders, holding approximately 96.04% to 102.87% of the company, while individual insiders own between 3.4% and 4.02% of the shares. Major institutional owners include Deerfield Management Company, L.P., BlackRock, Inc., and The Vanguard Group, Inc. The largest individual shareholder is Barbara Ann Jacobsmeyer, the President and Chief Executive Officer, owning 1.09% of the company's shares.