CHEMED CORPORATION vs Encompass Health Corporation, two Medical Care stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
Where CHE and EHC diverge most: on implied growth (priced in), CHE reads +4.7% and EHC reads -2.2%; on debt / equity, CHE reads 0.17 and EHC reads 0.77. The rest of the comparable metrics sit closer together. On valuation, today's CHE price has a different growth bar priced in than EHC (+4.7% implied for CHE vs -2.2% for EHC); the higher figure is the steeper assumption to clear, not a better or worse stock. What CHE's price implies is a bet that sits within the historical range (whole-company basis). What EHC's price implies is a bet that sits within the historical range (whole-company basis). The bull and bear cases for each are in their full reports below.
| Metric | CHE | EHC |
|---|---|---|
| Price | $499.14 | $123.21 |
| Market cap | $6.6B | $12.3B |
| Sector | Medical Care | Medical Care |
| Stage | Mature | Mature |
| Implied growth (priced in) | +4.7% | -2.2% |
| P/E | 25.1 | 20.1 |
| P/B | 7.93 | 3.62 |
| P/S | 2.54 | 1.99 |
| EV/EBITDA | 16.4 | 42.9 |
| Revenue growth | +3.4% | +9.5% |
| Operating margin | 13.3% | — |
| Net margin | 10.6% | 10.0% |
| Return on equity | 33.1% | 18.3% |
| Return on assets | 17.4% | 8.3% |
| Return on invested capital | 26.7% | — |
| FCF yield | 4.7% | 3.4% |
| Dividend yield | 0.4% | 0.6% |
| Debt / equity | 0.17 | 0.77 |
| Current ratio | 0.91 | 1.19 |
| Altman Z (solvency) | 9.81 | 2.71 |
| Piotroski F (quality) | 6 / 9 | 7 / 9 |
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The stronger value is highlighted per metric where one is strictly better on that single number; it is not an overall verdict on either company. For informational and research purposes only. Not investment advice. Not a recommendation to buy, sell, or hold any security. boothcheck is not a registered investment adviser. Past performance does not guarantee future results.