John Patrick Darby, Executive Vice President, General Counsel and Secretary of Encompass Health Corp (NYSE:EHC), filed a Form 4 on September 1, 2026, reporting an option exercise and same-day sale of common stock on August 31, 2026.

Key Highlights

  • Option exercise: Darby exercised 4,858 non-qualified stock options at an exercise price of $35.06 per share on August 31, 2026.
  • Same-day sale: 4,858 shares of Encompass Health Common Stock were sold at $121.09 per share on August 31, 2026.
  • Remaining ownership: Following the transactions, Darby directly holds 75,041 shares of Encompass Health Common Stock.
  • Option expiration: The exercised options carried an expiration date of February 24, 2027, and were originally exercisable beginning February 24, 2018.
  • Adjusted terms: According to the filing, the exercise price and number of options were adjusted pursuant to Article 17 of the 2016 Omnibus Performance Incentive Plan for the spin-off distribution of Enhabit, Inc. common stock.

Darby's Option Exercise and Share Sale at Encompass Health

According to the Form 4 filed with the SEC, John Patrick Darby, who serves as Executive Vice President, General Counsel and Secretary of Encompass Health Corp, reported two transactions in Encompass Health Common Stock on August 31, 2026. The filing identifies him as an officer of the issuer and indicates the form was filed by one reporting person.

The first transaction, coded "M," reflects the exercise of 4,858 non-qualified stock options at an exercise price of $35.06 per share, which the filing classifies as an acquisition of securities. Immediately following, a second transaction coded "S" records the sale of the same 4,858 shares at $121.09 per share, classified as a disposition. Prior to these transactions, Darby held 79,899 shares directly, according to the filing. After both transactions were completed, his directly held beneficial ownership stood at 75,041 shares.

The filing notes that the exercise price and number of options reported "have been adjusted, pursuant to Article 17 of the 2016 Omnibus Performance Incentive Plan, for the spin-off distribution of the common stock of Enhabit, Inc." The options, now fully disposed of, carried zero remaining derivative securities in Darby's name following the exercise. The filing was signed by John Patrick Darby and dated September 1, 2026.

What Was Disclosed

The filing discloses that EVP and General Counsel John Patrick Darby exercised 4,858 adjusted stock options at $35.06 and sold the resulting shares at $121.09 on August 31, 2026, leaving him with 75,041 directly held shares of Encompass Health Common Stock.