Yahoo Finance Teladoc (TDOC) Soars 6.7%: Is Further Upside Left in the Stock?
Teladoc (TDOC) shares soared 6.7% in the last trading session to close at $10.36. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 15.4% loss over the past four weeks.
Teladoc Health extended its rally for the second straight day, driven by optimism over the continued adoption of telehealth services and the effectiveness of AI-powered nudges in improving health outcomes for people with diabetes.
The company, in the American Diabetes Association’s 84th Scientific Sessions, showcased that members who were sent health notifications after being identified as at-risk for uncontrolled diabetes were three times more likely to use Teladoc Health’s diabetes management platform, leading to improved health outcomes. This further led to optimism in the investors’ community regarding TDOC's ability to retain clients by helping them lower costs related to chronic conditions.
This telehealth services provider is expected to post quarterly loss of $0.35 per share in its upcoming report, which represents a year-over-year change of +12.5%. Revenues are expected to be $649.56 million, down 0.4% from the year-ago quarter.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
For Teladoc, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on TDOC going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Teladoc is a member of the Zacks Medical Services industry. One other stock in the same industry, Surgery Partners (SGRY), finished the last trading session 3.1% lower at $23.74. SGRY has returned -3.5% over the past month.
For Surgery Partners , the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.21. This represents a change of -25% from what the company reported a year ago. Surgery Partners currently has a Zacks Rank of #3 (Hold).
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Teladoc Health, Inc. (TDOC) : Free Stock Analysis Report
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