STOCK TITAN

Encompass Health (NYSE: EHC) EVP gets options, shares withheld

Filing Impact
(Very High)
Filing Sentiment
(Neutral)
Form Type
4

Rhea-AI Filing Summary

Encompass Health Corp executive John Patrick Darby reported routine equity compensation activity. He received a grant of 5,967 non-qualified stock options at $108.06 per share, which become exercisable in equal installments over three years starting March 2, 2027. Separately, 416 shares of common stock were disposed of to satisfy tax withholding obligations tied to the vesting of related restricted stock, rather than through an open-market sale.

Positive

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Negative

  • None.
Insider Darby John Patrick
Role EVP, Gen Counsel & Secretary
Type Security Shares Price Value
Grant/Award Non-qualified Stock Option (Right to Buy) 5,967 $108.06 $645K
Tax Withholding Encompass Health Common Stock 416 $107.88 $45K
Holdings After Transaction: Non-qualified Stock Option (Right to Buy) — 5,967 shares (Direct); Encompass Health Common Stock — 83,947 shares (Direct)
Footnotes (1)
  1. These shares were withheld or surrendered to pay the insider's tax withholding obligations incurred in connection with the vesting of the related restricted stock. The option becomes exercisable in equal annual installments over a three-year period commencing March 2, 2027.
SEC Form 4
FORM 4 UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940
OMB APPROVAL
OMB Number: 3235-0287
Estimated average burden
hours per response: 0.5
Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).
Check this box to indicate that a transaction was made pursuant to a contract, instruction or written plan for the purchase or sale of equity securities of the issuer that is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c). See Instruction 10.
1. Name and Address of Reporting Person*
Darby John Patrick

(Last) (First) (Middle)
9001 LIBERTY PARKWAY

(Street)
BIRMINGHAM AL 35242

(City) (State) (Zip)
2. Issuer Name and Ticker or Trading Symbol
Encompass Health Corp [ EHC ]
5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
Director 10% Owner
X Officer (give title below) Other (specify below)
EVP, Gen Counsel & Secretary
3. Date of Earliest Transaction (Month/Day/Year)
02/28/2026
4. If Amendment, Date of Original Filed (Month/Day/Year)
6. Individual or Joint/Group Filing (Check Applicable Line)
X Form filed by One Reporting Person
Form filed by More than One Reporting Person
Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3) 2. Transaction Date (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 3. Transaction Code (Instr. 8) 4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5) 5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4) 6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 7. Nature of Indirect Beneficial Ownership (Instr. 4)
Code V Amount (A) or (D) Price
Encompass Health Common Stock 02/28/2026 F 416(1) D $107.88 83,947 D
Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3) 2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (Month/Day/Year) 3A. Deemed Execution Date, if any (Month/Day/Year) 4. Transaction Code (Instr. 8) 5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5) 6. Date Exercisable and Expiration Date (Month/Day/Year) 7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4) 8. Price of Derivative Security (Instr. 5) 9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4) 10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 11. Nature of Indirect Beneficial Ownership (Instr. 4)
Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares
Non-qualified Stock Option (Right to Buy) $108.06 03/02/2026 A 5,967 03/02/2027(2) 03/02/2036 Encompass Health Common Stock 5,967 $108.06 5,967 D
Explanation of Responses:
1. These shares were withheld or surrendered to pay the insider's tax withholding obligations incurred in connection with the vesting of the related restricted stock.
2. The option becomes exercisable in equal annual installments over a three-year period commencing March 2, 2027.
Patrick Darby 03/03/2026
** Signature of Reporting Person Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, see Instruction 6 for procedure.
Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB Number.

FAQ

What insider transactions did Encompass Health (EHC) report for John Patrick Darby?

Encompass Health EVP John Patrick Darby reported a grant of 5,967 non-qualified stock options at $108.06 per share and a disposition of 416 shares. The disposed shares were withheld to cover tax obligations from restricted stock vesting, not sold on the open market.

Was the Encompass Health (EHC) insider transaction a stock sale by John Patrick Darby?

The filing shows a disposition of 416 Encompass Health shares for tax withholding, not an open-market sale. These shares were surrendered to satisfy tax obligations triggered by vesting restricted stock, a common administrative step in equity compensation programs.

What stock option award did Encompass Health (EHC) grant to John Patrick Darby?

John Patrick Darby received 5,967 non-qualified stock options with a grant price of $108.06 per share. The options become exercisable in equal annual installments over three years beginning March 2, 2027, reflecting a multi-year equity incentive structure for the executive.

How many Encompass Health (EHC) shares does John Patrick Darby hold after the Form 4 transactions?

After the reported tax-withholding disposition, John Patrick Darby directly holds 83,947 shares of Encompass Health common stock. In addition, he holds 5,967 non-qualified stock options from the new grant, which will vest in equal tranches starting March 2, 2027.

Why were 416 Encompass Health (EHC) shares disposed of in John Patrick Darby’s Form 4?

The 416 shares were withheld or surrendered to pay Darby’s tax withholding obligations related to vested restricted stock. This method allows taxes to be settled using a portion of the equity award, rather than requiring a separate cash payment by the executive.

When do John Patrick Darby’s new Encompass Health (EHC) stock options become exercisable?

The newly granted Encompass Health stock options become exercisable in equal annual installments over three years. The vesting schedule begins on March 2, 2027, meaning one-third of the options vest each year over the three-year period following that date.