Where Did Teladoc Stock Go Wrong?
It was another quarter, another disappointment for Teladoc Health (NYSE: TDOC) this week. Shares of the telehealth services provider plummeted sharply at the open on Wednesday after the company posted weaker-than-expected financial results.
The report wasn't pretty, and its guidance was also underwhelming from a top-line growth perspective. Teladoc was a market darling when it hit the market as the country's first and largest telehealth platform nine years ago at $19 a share. It became a broken IPO on Wednesday when it opened in the midteens. The stock is down 95% from the all-time high it hit three years ago when the growth prospects for the leading provider of remote medical consultations were far kinder. Let's take a closer look to see what went wrong.
It's easy to dismiss Teladoc as a pandemic growth story, and shares peaked at a time when COVID-19 vaccinations had been recently approved but were still difficult to secure for most people. However, Teladoc was a speedster before local medical offices were shuttered or deemed risky as we sheltered in place. Revenue soared 89% in 2017 and 79% in 2018 before slowing to a 32% clip in 2019.
Source Fool.com
