Comprehensive Stock Comparison
Compare Brookdale Senior Living Inc. (BKD) vs Encompass Health Corporation (EHC) Stock
Analyze side-by-side fundamentals, valuation, growth, and profitability to decide which stock is the better buy.
Selected Stocks
Add up to 10 tickers. Use presets or search to get started.
Quick Verdict
| Category | Winner | Why |
|---|---|---|
| Growth | EHC | 10.5% revenue growth vs BKD's 7.3% |
| Quality / Margins | EHC | 9.3% net margin vs BKD's -8.2% |
| Stability / Safety | EHC | Beta 0.49 vs BKD's 0.88 |
| Dividends | EHC | 0.6% yield; 2-year raise streak; BKD pays no meaningful dividend |
| Momentum (1Y) | BKD | +168.4% vs EHC's +8.4% |
| Efficiency (ROA) | EHC | 7.9% ROA vs BKD's -4.4%, ROIC 12.7% vs 2.0% |
Who Each Stock Is For
Income & stability
Growth exposure
Long-term compounding (10Y)
Sleep-well-at-night portfolio
Defensive / Recession hedge
Business Model
What each company does and how it makes money
Brookdale Senior Living is a leading operator of senior living communities across the United States, providing independent living, assisted living, memory care, and skilled nursing services. It generates revenue primarily through resident fees — with assisted living and memory care contributing about 60% of revenue, independent living around 30%, and continuing care retirement communities making up the remainder. The company's scale advantage — operating over 600 communities nationwide — creates operational efficiencies and brand recognition that smaller regional operators cannot match.
Encompass Health operates a network of inpatient rehabilitation hospitals and home health/hospice services across the United States. It generates revenue primarily from Medicare reimbursements for its inpatient rehabilitation services — which account for the majority of its business — supplemented by home health and hospice care payments. The company's competitive advantage lies in its scale as the largest owner and operator of inpatient rehabilitation facilities in the country, creating operational efficiencies and referral network advantages.
Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
Financial Metrics Comparison
Side-by-side fundamentals across 2 stocks. BestLagging
Financial Scorecard
BKD leads in 2 of 6 categories (Valuation Metrics, Total Returns). EHC leads in 2 (Profitability & Efficiency, Analyst Outlook). 2 tied.
Financial Metrics (TTM)
EHC is the larger business by revenue, generating $5.8B annually — 1.8x BKD's $3.2B. EHC is the more profitable business, keeping 9.3% of every revenue dollar as net income compared to BKD's -8.2%.
| Metric | BKDBrookdale Senior … | EHCEncompass Health … |
|---|---|---|
| RevenueTrailing 12 months | $3.2B | $5.8B |
| EBITDAEarnings before interest/tax | $441M | $1.3B |
| Net IncomeAfter-tax profit | -$263M | $541M |
| Free Cash FlowCash after capex | $80M | $403M |
| Gross MarginGross profit ÷ Revenue | +88.9% | +43.8% |
| Operating MarginEBIT ÷ Revenue | +2.7% | +17.3% |
| Net MarginNet income ÷ Revenue | -8.2% | +9.3% |
| FCF MarginFCF ÷ Revenue | +2.5% | +6.9% |
| Rev. Growth (YoY)Latest quarter vs prior year | +11.0% | +9.4% |
| EPS Growth (YoY)Latest quarter vs prior year | +54.1% | +17.0% |
Valuation Metrics
On an enterprise value basis, EHC's 10.1x EV/EBITDA is more attractive than BKD's 10.2x.
| Metric | BKDBrookdale Senior … | EHCEncompass Health … |
|---|---|---|
| Market CapShares × price | $3.6B | $10.8B |
| Enterprise ValueMkt cap + debt − cash | $4.5B | $11.0B |
| Trailing P/EPrice ÷ TTM EPS | -13.66x | 19.44x |
| Forward P/EPrice ÷ next-FY EPS est. | — | 18.22x |
| PEG RatioP/E ÷ EPS growth rate | — | 1.36x |
| EV / EBITDAEnterprise value multiple | 10.21x | 10.09x |
| Price / SalesMarket cap ÷ Revenue | 1.14x | 1.82x |
| Price / BookPrice ÷ Book value/share | — | 3.37x |
| Price / FCFMarket cap ÷ FCF | 16.68x | — |
Profitability & Efficiency
EHC delivers a 17.0% return on equity — every $100 of shareholder capital generates $17 in annual profit, vs $-3 for BKD. On the Piotroski fundamental quality scale (0–9), EHC scores 7/9 vs BKD's 6/9, reflecting strong financial health.
| Metric | BKDBrookdale Senior … | EHCEncompass Health … |
|---|---|---|
| ROE (TTM)Return on equity | -3.1% | +17.0% |
| ROA (TTM)Return on assets | -4.4% | +7.9% |
| ROICReturn on invested capital | +2.0% | +12.7% |
| ROCEReturn on capital employed | +1.5% | +12.7% |
| Piotroski ScoreFundamental quality 0–9 | 6 | 7 |
| Debt / EquityFinancial leverage | — | 0.08x |
| Net DebtTotal debt minus cash | $869M | $195M |
| Cash & Equiv.Liquid assets | $279M | $72M |
| Total DebtShort + long-term debt | $1.1B | $267M |
| Interest CoverageEBIT ÷ Interest expense | 11.24x | 8.12x |
Total Returns (with DRIP)
A $10,000 investment in BKD five years ago would be worth $26,842 today (with dividends reinvested), compared to $17,548 for EHC. Over the past 12 months, BKD leads with a +168.4% total return vs EHC's +8.4%. The 3-year compound annual growth rate (CAGR) favors BKD at 67.9% vs EHC's 24.8% — a key indicator of consistent wealth creation.
| Metric | BKDBrookdale Senior … | EHCEncompass Health … |
|---|---|---|
| YTD ReturnYear-to-date | +41.1% | +1.6% |
| 1-Year ReturnPast 12 months | +168.4% | +8.4% |
| 3-Year ReturnCumulative with dividends | +373.7% | +94.3% |
| 5-Year ReturnCumulative with dividends | +168.4% | +75.5% |
| 10-Year ReturnCumulative with dividends | +6.5% | +312.9% |
| CAGR (3Y)Annualised 3-year return | +67.9% | +24.8% |
Risk & Volatility
EHC is the less volatile stock with a 0.49 beta — it tends to amplify market swings less than BKD's 0.88 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. BKD currently trades 90.0% from its 52-week high vs EHC's 84.3% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | BKDBrookdale Senior … | EHCEncompass Health … |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.88x | 0.49x |
| 52-Week HighHighest price in past year | $17.00 | $127.99 |
| 52-Week LowLowest price in past year | $4.97 | $92.53 |
| % of 52W HighCurrent price vs 52-week peak | +90.0% | +84.3% |
| RSI (14)Momentum oscillator 0–100 | 54.6 | 55.6 |
| Avg Volume (50D)Average daily shares traded | 4.6M | 1.1M |
Analyst Outlook
Wall Street rates BKD as "Buy" and EHC as "Buy". Consensus price targets imply 40.4% upside for EHC (target: $152) vs 14.4% for BKD (target: $18). EHC is the only dividend payer here at 0.64% yield — a key consideration for income-focused portfolios.
| Metric | BKDBrookdale Senior … | EHCEncompass Health … |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Buy |
| Price TargetConsensus 12-month target | $17.50 | $151.50 |
| # AnalystsCovering analysts | 12 | 26 |
| Dividend YieldAnnual dividend ÷ price | — | +0.6% |
| Dividend StreakConsecutive years of raises | 0 | 2 |
| Dividend / ShareAnnual DPS | — | $0.70 |
| Buyback YieldShare repurchases ÷ mkt cap | 0.0% | +1.5% |
Historical Charts
Charts are rendered on first load. Hover for details.
Chart 1Total Return — 5 Years (Rebased to 100)
| Stock | Mar 20 | Feb 26 | Change |
|---|---|---|---|
| Brookdale Senior Li… (BKD) | 100 | 256.98 | +157.0% |
| Encompass Health Co… (EHC) | 100 | 154.17 | +54.2% |
Brookdale Senior Li… (BKD) returned +168% over 5 years vs Encompass Health Co… (EHC)'s +75%. A $10,000 investment in BKD 5 years ago would be worth $26,842 today (including dividends reinvested).
Chart 2Revenue Growth — 10 Years
| Stock | 2016 | 2025 | Change |
|---|---|---|---|
| Brookdale Senior Li… (BKD) | $4.2B | $3.2B | -24.5% |
| Encompass Health Co… (EHC) | $3.6B | $5.9B | +62.9% |
Brookdale Senior Living Inc.'s revenue grew from $4.2B (2016) to $3.2B (2025) — a -3.1% CAGR. Encompass Health Corporation's revenue grew from $3.6B (2016) to $5.9B (2025) — a 5.6% CAGR.
Chart 3Net Margin Trend — 10 Years
| Stock | 2016 | 2025 | Change |
|---|---|---|---|
| Brookdale Senior Li… (BKD) | -9.5% | -8.2% | +13.8% |
| Encompass Health Co… (EHC) | 6.8% | 9.5% | +40.3% |
Brookdale Senior Living Inc.'s net margin went from -10% (2016) to -8% (2025). Encompass Health Corporation's net margin went from 7% (2016) to 10% (2025).
Chart 4P/E Ratio History — 9 Years
| Stock | 2017 | 2025 | Change |
|---|---|---|---|
| Encompass Health Co… (EHC) | 14.6 | 19.1 | +30.8% |
Encompass Health Corporation has traded in a 13x–23x P/E range over 9 years; current trailing P/E is ~19x.
Chart 5EPS Growth — 10 Years
| Stock | 2016 | 2025 | Change |
|---|---|---|---|
| Brookdale Senior Li… (BKD) | -2.18 | -1.12 | +48.6% |
| Encompass Health Co… (EHC) | 2.59 | 5.55 | +114.3% |
Brookdale Senior Living Inc.'s EPS grew from $-2.18 (2016) to $-1.12 (2025). Encompass Health Corporation's EPS grew from $2.59 (2016) to $5.55 (2025) — a 9% CAGR.
Chart 6Free Cash Flow — 5 Years
Brookdale Senior Living Inc. generated $218M FCF in 2025 (+180% vs 2021). Encompass Health Corporation generated $-738M FCF in 2025 (-548% vs 2021).
BKD vs EHC: Frequently Asked Questions
8 questions · data-driven answers · updated daily
01Is BKD or EHC a better buy right now?
Encompass Health Corporation (EHC) offers the better valuation at 19.4x trailing P/E (18.2x forward), making it the more compelling value choice. Analysts rate Brookdale Senior Living Inc. (BKD) a "Buy" — based on 12 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which is the better long-term investment — BKD or EHC?
Over the past 5 years, Brookdale Senior Living Inc. (BKD) delivered a total return of +168.4%, compared to +75.5% for Encompass Health Corporation (EHC). A $10,000 investment in BKD five years ago would be worth approximately $27K today (assuming dividends reinvested). Over 10 years, the gap is even starker: EHC returned +312.9% versus BKD's +6.5%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
03Which is safer — BKD or EHC?
By beta (market sensitivity over 5 years), Encompass Health Corporation (EHC) is the lower-risk stock at 0.49β versus Brookdale Senior Living Inc.'s 0.88β — meaning BKD is approximately 80% more volatile than EHC relative to the S&P 500.
04Which has better profit margins — BKD or EHC?
Encompass Health Corporation (EHC) is the more profitable company, earning 9.5% net margin versus -8.2% for Brookdale Senior Living Inc. — meaning it keeps 9.5% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: EHC leads at 12.8% versus 2.7% for BKD. At the gross margin level — before operating expenses — BKD leads at 88.9%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
05Is BKD or EHC more undervalued right now?
Analyst consensus price targets imply the most upside for EHC: 40.4% to $151.50.
06Which pays a better dividend — BKD or EHC?
In this comparison, EHC (0.6% yield) pays a dividend. BKD does not pay a meaningful dividend and should not be held primarily for income.
07Is BKD or EHC better for a retirement portfolio?
For long-horizon retirement investors, Encompass Health Corporation (EHC) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.49), 0.6% yield, +312.9% 10Y return). Both have compounded well over 10 years (EHC: +312.9%, BKD: +6.5%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
08What are the main differences between BKD and EHC?
Both stocks operate in the Healthcare sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both. EHC pays a dividend while BKD does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
Find Stocks Like These
Explore pre-built screens for each stock's profile, or build a custom screen to find stocks that beat both.