Encompass Health Corporation (EHC) is thriving due to increasing patient volumes, expansion efforts, and a strong financial position. With a Zacks Rank of #2 (Buy), EHC has outperformed the industry with a 16.6% stock growth in the past year. The company’s Value Score of A and robust growth prospects make it a solid investment choice.

Encompass Health has seen a consistent uptrend in earnings estimates, with a projected 19.6% year-over-year improvement in 2025. Revenue estimates for 2025 and 2026 also show positive growth, indicating a strong future for the company. The stock has a history of beating earnings estimates, with an average surprise of 12.47%.

The company’s success is driven by its inpatient rehabilitation hospitals, supported by growing demand for specialized care. Encompass Health plans to expand its network further, adding 150-200 beds to existing facilities in 2026 and 2027. With a solid financial foundation and strong operating cash flows, the company is well-positioned for future growth and success.

Other top-ranked stocks in the medical sector include ANI Pharmaceuticals, Inc. (ANIP), Collegium Pharmaceutical, Inc. (COLL), and Pediatrix Medical Group, Inc. (MD), each with a Zacks Rank of #1 (Strong Buy). These companies have shown impressive earnings growth and stock performance, making them attractive investment options for the future.

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Read more at Nasdaq: Why You Should Add Encompass Health to Your Portfolio Now