WallStSmart

Encompass Health Corp (EHC)vsEverpure, Inc. (P)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Encompass Health Corp generates 66% more annual revenue ($6.07B vs $3.66B). EHC leads profitability with a 10.0% profit margin vs 5.1%. EHC appears more attractively valued with a PEG of 0.41. EHC earns a higher WallStSmart Score of 73/100 (B).

EHC

Strong Buy

73

out of 100

Grade: B

Growth: 7.3Profit: 8.0Value: 8.0Quality: 5.8
Piotroski: 5/9Altman Z: 2.09

P

Buy

55

out of 100

Grade: C-

Growth: 8.0Profit: 4.0Value: 3.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EHCUndervalued (+24.7%)

Margin of Safety

+24.7%

Fair Value

$150.58

Current Price

$105.21

$45.37 discount

UndervaluedFair: $150.58Overvalued

Intrinsic value data unavailable for P.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EHC3 strengths · Avg: 9.0/10
PEG RatioValuation
0.4110/10

Growing faster than its price suggests

Return on EquityProfitability
25.2%9/10

Every $100 of equity generates 25 in profit

EPS GrowthGrowth
29.9%8/10

Earnings expanding 29.9% YoY

P2 strengths · Avg: 9.0/10
EPS GrowthGrowth
139.7%10/10

Earnings expanding 139.7% YoY

Revenue GrowthGrowth
20.4%8/10

Revenue surging 20.4% year-over-year

Areas to Watch

EHC0 concerns · Avg: 0/10

No major concerns identified

P4 concerns · Avg: 3.3/10
PEG RatioValuation
1.614/10

Expensive relative to growth rate

Price/BookValuation
17.0x4/10

Trading at 17.0x book value

Profit MarginProfitability
5.1%3/10

5.1% margin — thin

P/E RatioValuation
130.2x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : EHC

The strongest argument for EHC centers on PEG Ratio, Return on Equity, EPS Growth. PEG of 0.41 suggests the stock is reasonably priced for its growth.

Bull Case : P

The strongest argument for P centers on EPS Growth, Revenue Growth. Revenue growth of 20.4% demonstrates continued momentum.

Bear Case : EHC

No major red flags identified for EHC, but monitor valuation.

Bear Case : P

The primary concerns for P are PEG Ratio, Price/Book, Profit Margin. A P/E of 130.2x leaves little room for execution misses.

Key Dynamics to Monitor

EHC profiles as a value stock while P is a growth play — different risk/reward profiles.

P carries more volatility with a beta of 1.44 — expect wider price swings.

P is growing revenue faster at 20.4% — sustainability is the question.

P generates stronger free cash flow (201M), providing more financial flexibility.

Bottom Line

EHC scores higher overall (73/100 vs 55/100). Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Encompass Health Corp

HEALTHCARE · MEDICAL CARE FACILITIES · USA

Encompass Health Corporation offers in-home and post-acute health care services in the United States. The company is headquartered in Birmingham, Alabama.

Everpure, Inc.

TECHNOLOGY · COMPUTER HARDWARE · USA

Pandora Media, Inc. provides music discovery platform services in the United States and internationally. The company is headquartered in Oakland, California.

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