EHC vs. EW: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at EHC and EW, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | EHC | EW |
|---|---|---|
| Company Name | Encompass Health Corporation | Edwards Lifesciences Corporation |
| Country | United States | United States |
| GICS Sector | Health Care | Health Care |
| GICS Industry | Health Care Providers & Services | Health Care Equipment & Supplies |
| Market Capitalization | 12.76 billion USD | 44.80 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | September 24, 1986 | March 27, 2000 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of EHC and EW by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | EHC | EW |
|---|---|---|
| 5-Day Price Return | 0.95% | 4.17% |
| 13-Week Price Return | 3.58% | -0.56% |
| 26-Week Price Return | 26.56% | 9.40% |
| 52-Week Price Return | 32.30% | 16.81% |
| Month-to-Date Return | 4.32% | -4.39% |
| Year-to-Date Return | 37.54% | 5.05% |
| 10-Day Avg. Volume | 0.60M | 5.34M |
| 3-Month Avg. Volume | 0.78M | 4.28M |
| 3-Month Volatility | 26.74% | 20.02% |
| Beta | 0.95 | 1.02 |
Profitability
Return on Equity (TTM)
EHC
24.70%
Health Care Providers & Services Industry
- Max
- 24.86%
- Q3
- 15.79%
- Median
- 8.56%
- Q1
- 5.75%
- Min
- -1.64%
In the upper quartile for the Health Care Providers & Services industry, EHC’s Return on Equity of 24.70% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
EW
41.25%
Health Care Equipment & Supplies Industry
- Max
- 29.93%
- Q3
- 16.99%
- Median
- 9.28%
- Q1
- 5.10%
- Min
- -12.52%
EW’s Return on Equity of 41.25% is exceptionally high, placing it well beyond the typical range for the Health Care Equipment & Supplies industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
Net Profit Margin (TTM)
EHC
9.22%
Health Care Providers & Services Industry
- Max
- 11.56%
- Q3
- 5.45%
- Median
- 2.83%
- Q1
- 1.13%
- Min
- -1.71%
A Net Profit Margin of 9.22% places EHC in the upper quartile for the Health Care Providers & Services industry, signifying strong profitability and more effective cost management than most of its peers.
EW
72.96%
Health Care Equipment & Supplies Industry
- Max
- 24.41%
- Q3
- 13.71%
- Median
- 10.08%
- Q1
- 5.96%
- Min
- -5.58%
EW’s Net Profit Margin of 72.96% is exceptionally high, placing it well beyond the typical range for the Health Care Equipment & Supplies industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.
Operating Profit Margin (TTM)
EHC
17.06%
Health Care Providers & Services Industry
- Max
- 19.08%
- Q3
- 9.66%
- Median
- 4.77%
- Q1
- 2.46%
- Min
- -0.83%
An Operating Profit Margin of 17.06% places EHC in the upper quartile for the Health Care Providers & Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
EW
25.01%
Health Care Equipment & Supplies Industry
- Max
- 31.09%
- Q3
- 18.11%
- Median
- 15.07%
- Q1
- 8.48%
- Min
- -0.28%
An Operating Profit Margin of 25.01% places EW in the upper quartile for the Health Care Equipment & Supplies industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | EHC | EW |
|---|---|---|
| Return on Equity (TTM) | 24.70% | 41.25% |
| Return on Assets (TTM) | 7.91% | 31.58% |
| Net Profit Margin (TTM) | 9.22% | 72.96% |
| Operating Profit Margin (TTM) | 17.06% | 25.01% |
| Gross Profit Margin (TTM) | 95.62% | 78.87% |
Financial Strength
Current Ratio (MRQ)
EHC
1.06
Health Care Providers & Services Industry
- Max
- 2.00
- Q3
- 1.51
- Median
- 1.29
- Q1
- 0.92
- Min
- 0.14
EHC’s Current Ratio of 1.06 aligns with the median group of the Health Care Providers & Services industry, indicating that its short-term liquidity is in line with its sector peers.
EW
4.68
Health Care Equipment & Supplies Industry
- Max
- 5.19
- Q3
- 3.00
- Median
- 2.13
- Q1
- 1.44
- Min
- 0.86
EW’s Current Ratio of 4.68 is in the upper quartile for the Health Care Equipment & Supplies industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
Debt-to-Equity Ratio (MRQ)
EHC
1.08
Health Care Providers & Services Industry
- Max
- 2.29
- Q3
- 1.24
- Median
- 0.74
- Q1
- 0.50
- Min
- 0.00
EHC’s Debt-to-Equity Ratio of 1.08 is typical for the Health Care Providers & Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
EW
0.06
Health Care Equipment & Supplies Industry
- Max
- 1.61
- Q3
- 0.76
- Median
- 0.45
- Q1
- 0.14
- Min
- 0.00
Falling into the lower quartile for the Health Care Equipment & Supplies industry, EW’s Debt-to-Equity Ratio of 0.06 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
Interest Coverage Ratio (TTM)
EHC
6.58
Health Care Providers & Services Industry
- Max
- 14.47
- Q3
- 7.50
- Median
- 4.52
- Q1
- 2.12
- Min
- -4.44
EHC’s Interest Coverage Ratio of 6.58 is positioned comfortably within the norm for the Health Care Providers & Services industry, indicating a standard and healthy capacity to cover its interest payments.
EW
3.15
Health Care Equipment & Supplies Industry
- Max
- 56.35
- Q3
- 25.56
- Median
- 9.60
- Q1
- 3.78
- Min
- -26.49
In the lower quartile for the Health Care Equipment & Supplies industry, EW’s Interest Coverage Ratio of 3.15 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.
Financial Strength at a Glance
| Symbol | EHC | EW |
|---|---|---|
| Current Ratio (MRQ) | 1.06 | 4.68 |
| Quick Ratio (MRQ) | 0.87 | 3.79 |
| Debt-to-Equity Ratio (MRQ) | 1.08 | 0.06 |
| Interest Coverage Ratio (TTM) | 6.58 | 3.15 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
EHC
0.53%
Health Care Providers & Services Industry
- Max
- 5.93%
- Q3
- 2.59%
- Median
- 1.35%
- Q1
- 0.00%
- Min
- 0.00%
EHC’s Dividend Yield of 0.53% is consistent with its peers in the Health Care Providers & Services industry, providing a dividend return that is standard for its sector.
EW
0.00%
Health Care Equipment & Supplies Industry
- Max
- 4.15%
- Q3
- 1.76%
- Median
- 0.79%
- Q1
- 0.00%
- Min
- 0.00%
EW currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio (TTM)
EHC
12.84%
Health Care Providers & Services Industry
- Max
- 185.33%
- Q3
- 74.82%
- Median
- 36.00%
- Q1
- 0.00%
- Min
- 0.00%
EHC’s Dividend Payout Ratio of 12.84% is within the typical range for the Health Care Providers & Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
EW
0.00%
Health Care Equipment & Supplies Industry
- Max
- 160.00%
- Q3
- 66.60%
- Median
- 27.49%
- Q1
- 0.00%
- Min
- 0.00%
EW has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | EHC | EW |
|---|---|---|
| Dividend Yield (TTM) | 0.53% | 0.00% |
| Dividend Payout Ratio (TTM) | 12.84% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
EHC
24.03
Health Care Providers & Services Industry
- Max
- 40.02
- Q3
- 29.75
- Median
- 21.09
- Q1
- 14.18
- Min
- 7.05
EHC’s P/E Ratio of 24.03 is within the middle range for the Health Care Providers & Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
EW
10.61
Health Care Equipment & Supplies Industry
- Max
- 67.29
- Q3
- 47.01
- Median
- 30.94
- Q1
- 23.91
- Min
- 10.79
EW’s P/E Ratio of 10.61 is below the typical range for the Health Care Equipment & Supplies industry. This may indicate that the stock is potentially undervalued, or it could reflect market concerns about the company’s future prospects.
Price-to-Sales Ratio (TTM)
EHC
2.22
Health Care Providers & Services Industry
- Max
- 3.15
- Q3
- 1.87
- Median
- 0.74
- Q1
- 0.27
- Min
- 0.09
EHC’s P/S Ratio of 2.22 is in the upper echelon for the Health Care Providers & Services industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
EW
7.74
Health Care Equipment & Supplies Industry
- Max
- 9.49
- Q3
- 5.41
- Median
- 2.86
- Q1
- 2.07
- Min
- 0.74
EW’s P/S Ratio of 7.74 is in the upper echelon for the Health Care Equipment & Supplies industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
Price-to-Book Ratio (MRQ)
EHC
5.43
Health Care Providers & Services Industry
- Max
- 7.33
- Q3
- 4.45
- Median
- 2.52
- Q1
- 1.15
- Min
- 0.66
EHC’s P/B Ratio of 5.43 is in the upper tier for the Health Care Providers & Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
EW
4.35
Health Care Equipment & Supplies Industry
- Max
- 10.85
- Q3
- 6.56
- Median
- 3.53
- Q1
- 2.36
- Min
- 0.71
EW’s P/B Ratio of 4.35 is within the conventional range for the Health Care Equipment & Supplies industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | EHC | EW |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 24.03 | 10.61 |
| Price-to-Sales Ratio (TTM) | 2.22 | 7.74 |
| Price-to-Book Ratio (MRQ) | 5.43 | 4.35 |
| Price-to-Free Cash Flow Ratio (TTM) | 28.60 | 57.92 |