Added to YB: 2024-05-13
Pitch date: 2024-05-10
EHAB [bullish]
Enhabit, Inc.
+12.56%
current return
Author Info
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Company Info
Enhabit, Inc. provides home health and hospice services in the United States. The company’s home health services include patient education, pain management, wound care and dressing changes, cardiac rehabilitation, infusion therapy, pharmaceutical administration, and skilled observation and assessment services; practices to treat chronic diseases and conditions, including diabetes, hypertension, arthritis, Alzheimer’s disease, low vision, spinal stenosis, Parkinson’s disease, osteoporosis, complex wound care and chronic pain, along with disease-specific plans for patients with diabetes, congestive heart failure, post-orthopedic surgery, or injury and respiratory diseases; and physical, occupational and speech therapists provide therapy services.
Market Cap
$409.4M
Pitch Price
$8.60
Price Target
16.58 (+71%)
Dividend
N/A
EV/EBITDA
8.31
P/E
-34.43
EV/Sales
0.86
Sector
Health Care Providers and Services
Category
special_situation
Enhabit: Failed Strategic Alternatives Process, Proxy Fight
EHAB: Recent spinoff of home health & hospice biz at 4.5x EBITDA. Activist AREX (4.8%) seeks board seats after failed sale review. Industry tailwinds: aging population, cheaper care settings, consolidation (UnitedHealth bought AMED at 13.7x EBITDA). Near-term headwinds: debt load, Medicare Advantage shift pressuring margins. Stabilizing traditional Medicare mix + activism could drive operational & strategic (M&A post-7/24) upside. Highly leveraged re-rating play.
Read full article (3 min)