Enhabit (NYSE:EHAB) Sees Large Volume Increase – Should You Buy?

Enhabit, Inc. (NYSE:EHAB) shares saw unusually-strong trading volume on Tuesday . Approximately 1,358,650 shares traded hands during mid-day trading, an increase of 44% from the previous session’s volume of 944,999 shares.The stock last traded at $13.5750 and had previously closed at $13.60.

Enhabit News Summary

Here are the key news stories impacting Enhabit this week:

• Positive Sentiment: Definitive agreement: Enhabit agreed to be acquired by Kinderhook in an all‑cash $13.80/share deal (~$1.1B), giving shareholders a clear cash exit and creating an offer floor near the deal price. Enhabit to be Acquired by Kinderhook Industries
• Positive Sentiment: Market reaction: Reports note a large intraday surge and above‑average volume after the deal news, reflecting investor interest in the takeover premium and arbitrage activity. Enhabit (EHAB) Surges 22.6%
• Neutral Sentiment: Media coverage/confirmation: Multiple outlets (Investing.com, HomeHealthCareNews, MSN) carried the acquisition story, increasing public visibility and likely drawing attention from arbitrageurs and potential litigants. Kinderhook Industries To Acquire Enhabit For $1.1B
• Negative Sentiment: Shareholder litigation risk — Brodsky & Smith announced an investigation alleging possible breaches of fiduciary duty over the sale process and consideration, which could lead to lawsuits or demands for a higher price. SHAREHOLDER NOTICE: Brodsky & Smith Investigation
• Negative Sentiment: Additional law firms (Kahn Swick & Foti, Halper Sadeh, Ademi LLP) opened probes into whether $13.80/share and the sale process are fair to shareholders — more investigations raise the odds of litigation, regulatory scrutiny or deal delay. Kahn Swick & Foti Investigation

Wall Street Analyst Weigh In

EHAB has been the topic of several recent research reports. Deutsche Bank Aktiengesellschaft upgraded Enhabit to a “buy” rating in a report on Tuesday, January 13th. Oppenheimer downgraded shares of Enhabit from an “outperform” rating to a “market perform” rating in a report on Monday. Wolfe Research set a $12.00 price objective on shares of Enhabit in a report on Thursday, January 8th. Citigroup reissued a “buy” rating on shares of Enhabit in a research report on Tuesday, December 16th. Finally, Truist Financial set a $13.80 price target on shares of Enhabit in a research report on Monday. Three research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $13.31.

Enhabit Price Performance

The company has a market capitalization of $688.04 million, a P/E ratio of -54.38 and a beta of 1.65. The business’s 50-day moving average is $10.40 and its two-hundred day moving average is $9.01. The company has a quick ratio of 1.58, a current ratio of 1.58 and a debt-to-equity ratio of 0.75.

Hedge Funds Weigh In On Enhabit

Several institutional investors have recently modified their holdings of EHAB. Bailard Inc. purchased a new position in Enhabit in the third quarter worth $442,000. Phocas Financial Corp. bought a new stake in shares of Enhabit during the 2nd quarter worth $3,094,000. Dynamic Technology Lab Private Ltd purchased a new position in shares of Enhabit in the 2nd quarter worth about $717,000. Globeflex Capital L P bought a new position in Enhabit during the second quarter valued at about $1,154,000. Finally, Y Intercept Hong Kong Ltd increased its holdings in Enhabit by 188.2% during the third quarter. Y Intercept Hong Kong Ltd now owns 218,284 shares of the company’s stock worth $1,748,000 after buying an additional 142,556 shares during the last quarter.

Enhabit Company Profile

Enhabit, Inc (NYSE: EHAB) is a national provider of home-based healthcare services, offering a continuum of care designed to support patients in the comfort of their own homes. The company’s core mission is to deliver personalized clinical and non-clinical services that help individuals recover from illness or injury, manage chronic conditions, and, when necessary, receive compassionate end-of-life care. Enhabit’s business model centers on combining skilled clinical care with patient-centric service coordination to optimize outcomes and enhance the overall care experience.

The company’s service portfolio includes skilled nursing, physical, occupational and speech therapies, personal care assistance, palliative care and hospice services.