EHC vs. THC: Encompass Health vs. Tenet Healthcare Stock Comparison

November 11, 2026

How do Encompass Health (EHC) and Tenet Healthcare (THC) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Encompass Health (EHC) and Tenet Healthcare (THC) are both classified in the Health Care Facilities sub-industry within the broader Health Care Providers & Services industry, placing them in the closest GICS peer bucket.

Company profile comparison for Encompass Health (EHC) and Tenet Healthcare (THC)
Profile Item	EHC	THC
Name	Encompass Health Corporation	Tenet Healthcare Corp.
Country/Region	United States	United States
GICS Sector	Health Care	Health Care
GICS Industry Group	Health Care Equipment & Services	Health Care Equipment & Services
GICS Industry	Health Care Providers & Services	Health Care Providers & Services
GICS Sub-Industry	Health Care Facilities	Health Care Facilities
Market Capitalization	13.50 billion USD	22.55 billion USD
Currency	USD	USD
Exchange	NYSE	NYSE
Listing Date	September 24, 1986	March 17, 1980
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

EHC

THC

GSPC

Encompass Health (EHC) vs. Tenet Healthcare (THC), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Encompass Health (EHC) and Tenet Healthcare (THC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Encompass Health (EHC) and Tenet Healthcare (THC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Encompass Health (EHC) and Tenet Healthcare (THC)
Metric	EHC	THC
Total Return (1Y)	22.16%	43.40%
Total Return (3Y, Annualized)	30.96%	77.47%
Total Return (5Y, Annualized)	23.55%	29.92%

Risk Profile

Drawdown History

EHC

THC

GSPC

Encompass Health (EHC) vs. Tenet Healthcare (THC), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Encompass Health (EHC) and Tenet Healthcare (THC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Encompass Health (EHC) and Tenet Healthcare (THC)
Metric	EHC	THC
Volatility (1Y, Annualized)	30.54%	43.80%
Beta (5Y)	0.82	1.17
Max Drawdown (5Y)	-27.33%	-58.88%
Avg. Volume (3M)	996.79K	768.24K

Risk-Adjusted Performance

Risk-Return Positioning

EHC and THC are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Encompass Health (EHC) and Tenet Healthcare (THC)
Metric	EHC	THC
Sharpe Ratio (1Y)	0.59	0.89
Sortino Ratio (1Y)	1.08	1.71

Profitability

ROE (TTM)

Both Encompass Health (EHC) at 25.11% and Tenet Healthcare (THC) at 41.70% sit in the top peer quartile for ROE, suggesting each generates more profit from shareholders’ equity than typical industry peers.

EHC

Health Care Equipment & Services industry group

25.11%

Max: 47.61%
EHC: 25.11%
Q3: 14.36%
Median: 5.45%
Q1: -10.67%
Min: -47.01%

THC

Health Care Equipment & Services industry group

41.70%

Max: 47.61%
THC: 41.70%
Q3: 14.36%
Median: 5.45%
Q1: -10.67%
Min: -47.01%

Encompass Health (EHC) vs. Tenet Healthcare (THC): A comparison of their ROE against the Health Care Equipment & Services industry group benchmark.

Net Margin (TTM)

For every dollar of sales, both Encompass Health (EHC) at 10.17% and Tenet Healthcare (THC) at 13.09% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

EHC

Health Care Equipment & Services industry group

10.17%

Max: 29.35%
EHC: 10.17%
Q3: 9.33%
Median: 2.18%
Q1: -6.29%
Min: -28.46%

THC

Health Care Equipment & Services industry group

13.09%

Max: 29.35%
THC: 13.09%
Q3: 9.33%
Median: 2.18%
Q1: -6.29%
Min: -28.46%

Encompass Health (EHC) vs. Tenet Healthcare (THC): A comparison of their net margin against the Health Care Equipment & Services industry group benchmark.

Operating Margin (TTM)

Both Encompass Health (EHC) at 18.07% and Tenet Healthcare (THC) at 19.04% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

EHC

Health Care Equipment & Services industry group

18.07%

Max: 35.43%
EHC: 18.07%
Q3: 14.14%
Median: 6.81%
Q1: -0.28%
Min: -16.29%

THC

Health Care Equipment & Services industry group

19.04%

Max: 35.43%
THC: 19.04%
Q3: 14.14%
Median: 6.81%
Q1: -0.28%
Min: -16.29%

Encompass Health (EHC) vs. Tenet Healthcare (THC): A comparison of their operating margin against the Health Care Equipment & Services industry group benchmark.

Profitability Metrics

Profitability metrics for Encompass Health (EHC) and Tenet Healthcare (THC)
Metric	EHC	THC
ROE (TTM)	25.11%	41.70%
ROA (TTM)	10.08%	8.68%
Net Margin (TTM)	10.17%	13.09%
Operating Margin (TTM)	18.07%	19.04%
Gross Margin (TTM)	44.15%	42.47%

Growth

Revenue Growth

Encompass Health (EHC) at 10.46% is around its peer norm for revenue growth, while Tenet Healthcare (THC) at 3.07% drops into the bottom quartile, signaling weaker demand or pricing momentum.

Encompass Health (EHC) vs. Tenet Healthcare (THC): A comparison of their Revenue Growth across different time periods.

EPS Growth

Encompass Health (EHC) at 24.22% is around its peer norm for EPS growth, while Tenet Healthcare (THC) at -52.63% drops into the bottom quartile, signaling weaker earnings momentum.

Encompass Health (EHC) vs. Tenet Healthcare (THC): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Encompass Health (EHC) and Tenet Healthcare (THC)
Metric	EHC	THC
Revenue Growth (YoY)	10.46%	3.07%
Revenue Growth (3Y CAGR)	10.92%	3.58%
EPS Growth (YoY)	24.22%	-52.63%
EPS Growth (3Y CAGR)	27.07%	59.88%

Financial Strength

Current Ratio (MRQ)

Tenet Healthcare (THC) at 1.59 keeps current ratio within its industry’s typical mid-range, while Encompass Health (EHC) at 1.09 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for EHC.

EHC

Health Care Equipment & Services industry group

1.09

Max: 7.59
Q3: 4.00
Median: 1.98
Q1: 1.37
EHC: 1.09
Min: 0.30

THC

Health Care Equipment & Services industry group

1.59

Max: 7.59
Q3: 4.00
Median: 1.98
THC: 1.59
Q1: 1.37
Min: 0.30

Encompass Health (EHC) vs. Tenet Healthcare (THC): A comparison of their current ratio against the Health Care Equipment & Services industry group benchmark.

Debt / Equity (MRQ)

Encompass Health (EHC) at 0.79 carries an industry-typical debt-to-equity mix, while Tenet Healthcare (THC) at 1.38 uses more debt funding than most peers.

EHC

Health Care Equipment & Services industry group

0.79

Max: 1.88
Q3: 0.91
EHC: 0.79
Median: 0.58
Q1: 0.16
Min: 0.00

THC

Health Care Equipment & Services industry group

1.38

Max: 1.88
THC: 1.38
Q3: 0.91
Median: 0.58
Q1: 0.16
Min: 0.00

Encompass Health (EHC) vs. Tenet Healthcare (THC): A comparison of their debt-to-equity ratio against the Health Care Equipment & Services industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Encompass Health (EHC) and Tenet Healthcare (THC)
Metric	EHC	THC
Current Ratio (MRQ)	1.09	1.59
Debt / Equity (MRQ)	0.79	1.38
Net Debt / EBITDA	1.79	2.06

Dividends

Dividend Yield (TTM)

Tenet Healthcare (THC) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Encompass Health (EHC) reports a yield of 0.55%, ranking against industry peers normally.

EHC

Health Care Equipment & Services industry group

0.55%

EHC: 0.55%
Max: 0.00%
Q3: 0.00%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

THC

Health Care Equipment & Services industry group

0.00%

THC: 0.00%
Max: 0.00%
Q3: 0.00%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Encompass Health (EHC) vs. Tenet Healthcare (THC): A comparison of their dividend yield against the Health Care Equipment & Services industry group benchmark.

Dividend Payout Ratio (TTM)

Tenet Healthcare (THC) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Encompass Health (EHC) reports a payout of 12.48%, ranking against industry peers normally.

EHC

Health Care Equipment & Services industry group

12.48%

EHC: 12.48%
Max: 0.00%
Q3: 0.00%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

THC

Health Care Equipment & Services industry group

0.00%

THC: 0.00%
Max: 0.00%
Q3: 0.00%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Encompass Health (EHC) vs. Tenet Healthcare (THC): A comparison of their payout ratio against the Health Care Equipment & Services industry group benchmark.

Dividend Metrics

Dividend metrics for Encompass Health (EHC) and Tenet Healthcare (THC)
Metric	EHC	THC
Dividend Yield (TTM)	0.55%	0.00%
Dividend Payout Ratio (TTM)	12.48%	0.00%

Valuation

P/E Ratio (TTM)

Tenet Healthcare (THC) at 8.26 sits in the cheaper P/E ratio quartile, while Encompass Health (EHC) at 22.01 is closer to its industry’s usual earnings multiple — a discount for THC, though growth and earnings durability still matter.

EHC

Health Care Equipment & Services industry group

22.01

Max: 80.41
Q3: 47.62
Median: 29.93
EHC: 22.01
Q1: 21.19
Min: 4.21

THC

Health Care Equipment & Services industry group

8.26

Max: 80.41
Q3: 47.62
Median: 29.93
Q1: 21.19
THC: 8.26
Min: 4.21

Encompass Health (EHC) vs. Tenet Healthcare (THC): A comparison of their P/E ratio against the Health Care Equipment & Services industry group benchmark.

P/S Ratio (TTM)

Tenet Healthcare (THC) at 1.02 sits in the cheaper P/S ratio quartile while Encompass Health (EHC) at 2.13 prices around its industry’s middle — THC costs less per dollar of sales, though read it alongside growth and margins.

EHC

Health Care Equipment & Services industry group

2.13

Max: 8.80
Q3: 4.32
EHC: 2.13
Median: 2.13
Q1: 1.10
Min: 0.03

THC

Health Care Equipment & Services industry group

1.02

Max: 8.80
Q3: 4.32
Median: 2.13
Q1: 1.10
THC: 1.02
Min: 0.03

Encompass Health (EHC) vs. Tenet Healthcare (THC): A comparison of their P/S ratio against the Health Care Equipment & Services industry group benchmark.

P/B Ratio (MRQ)

On P/B ratio, both Encompass Health (EHC) at 5.04 and Tenet Healthcare (THC) at 4.14 are valued close to their industries’ norm against book — neither stands out from peers.

EHC

Health Care Equipment & Services industry group

5.04

Max: 11.68
Q3: 6.12
EHC: 5.04
Median: 3.00
Q1: 1.73
Min: -1.31

THC

Health Care Equipment & Services industry group

4.14

Max: 11.68
Q3: 6.12
THC: 4.14
Median: 3.00
Q1: 1.73
Min: -1.31

Encompass Health (EHC) vs. Tenet Healthcare (THC): A comparison of their P/B ratio against the Health Care Equipment & Services industry group benchmark.

Valuation Metrics

Valuation metrics for Encompass Health (EHC) and Tenet Healthcare (THC)
Metric	EHC	THC
P/E Ratio (TTM)	22.01	8.26
P/S Ratio (TTM)	2.13	1.02
P/B Ratio (MRQ)	5.04	4.14
Free Cash Flow Yield (TTM)	1.97%	8.99%