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Why Teladoc (TDOC) Outpaced the Stock Market Today

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The latest trading session saw Teladoc (TDOC - Free Report) ending at $7.25, denoting a +0.83% adjustment from its last day's close. The stock's performance was ahead of the S&P 500's daily gain of 0.45%. Elsewhere, the Dow lost 0.23%, while the tech-heavy Nasdaq added 0.84%.

Shares of the telehealth services provider witnessed a gain of 4.66% over the previous month, beating the performance of the Medical sector with its gain of 3.16% and the S&P 500's gain of 2.54%.

Analysts and investors alike will be keeping a close eye on the performance of Teladoc in its upcoming earnings disclosure. In that report, analysts expect Teladoc to post earnings of -$0.29 per share. This would mark year-over-year growth of 17.14%. Alongside, our most recent consensus estimate is anticipating revenue of $630.5 million, indicating a 4.5% downward movement from the same quarter last year.

For the full year, the Zacks Consensus Estimates are projecting earnings of -$4.99 per share and revenue of $2.55 billion, which would represent changes of -272.39% and -1.97%, respectively, from the prior year.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Teladoc. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, there's been a 5.2% fall in the Zacks Consensus EPS estimate. At present, Teladoc boasts 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 169, finds itself in the bottom 34% echelons of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained 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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