Pomerantz LLP Investigating Encompass Health Corporation Securities Fraud Claims.

Tuesday, Sep 2, 2025 10:05 am ET1min read

Pomerantz LLP is investigating claims on behalf of Encompass Health Corporation investors regarding alleged securities fraud or unlawful business practices. The investigation concerns Encompass' performance on safety measures, with The New York Times reporting that its for-profit hospitals have below-average rates of potentially preventable readmissions to general hospitals. Investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, ext. 7980.

Pomerantz LLP, a leading firm in corporate, securities, and antitrust class litigation, has announced an investigation into claims on behalf of investors of Encompass Health Corporation (NYSE: EHC). The investigation focuses on whether Encompass and its officers and/or directors have engaged in securities fraud or other unlawful business practices.

The investigation was prompted by a report published by The New York Times on July 15, 2025, which cited federal data and inspection reports alleging that for-profit hospitals run by Encompass perform below average on key safety measures. The article reported that Encompass owns many rehab facilities with worse rates of potentially preventable, unplanned readmissions to general hospitals, including 34 facilities that Medicare rated as having statistically significantly worse rates of potentially preventable readmissions. The article also described several "alarming mistakes" leading to fatalities in the care of Encompass-owned facilities [2].

Following the publication of the article, Encompass's stock price fell by $12.39 per share, or 10.35%, closing at $107.28 per share on July 15, 2025. Investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, ext. 7980, for more information about the class action.

Pomerantz LLP is acknowledged for its expertise in securities class actions and has a history of recovering multimillion-dollar damages on behalf of class members [2].

References:
[1] https://www.globenewswire.com/news-release/2025/08/29/3141606/1087/en/INVESTOR-ALERT-Pomerantz-Law-Firm-Investigates-Claims-On-Behalf-of-Investors-of-Encompass-Health-Corporation-EHC.html
[2] https://www.globenewswire.com/news-release/2025/08/29/3141606/1087/en/INVESTOR-ALERT-Pomerantz-Law-Firm-Investigates-Claims-On-Behalf-of-Investors-of-Encompass-Health-Corporation-EHC.html

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