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Teladoc (TDOC) Stock Sinks As Market Gains: Here's Why

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Teladoc (TDOC - Free Report) closed the latest trading day at $18.64, indicating a -0.32% change from the previous session's end. The stock fell short of the S&P 500, which registered a gain of 0.63% for the day. Meanwhile, the Dow experienced a rise of 0.59%, and the technology-dominated Nasdaq saw an increase of 0.39%.

Shares of the telehealth services provider have depreciated by 16.18% over the course of the past month, underperforming the Medical sector's loss of 1.62% and the S&P 500's loss of 3.39%.

Analysts and investors alike will be keeping a close eye on the performance of Teladoc in its upcoming earnings disclosure. The company is expected to report EPS of -$0.37, up 17.78% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $663.12 million, up 8.46% from the prior-year quarter.

TDOC's full-year Zacks Consensus Estimates are calling for earnings of -$1.36 per share and revenue of $2.63 billion. These results would represent year-over-year changes of +98.39% and +9.21%, respectively.

Investors should also pay attention to any latest changes in analyst estimates for Teladoc. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.56% higher. Teladoc is currently sporting a Zacks Rank of #3 (Hold).

The Medical Services industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 161, finds itself in the bottom 37% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow TDOC in the coming trading sessions, be sure to utilize Zacks.com.


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