Why Teladoc Health Stock Slid Today
Teladoc Health (NYSE: TDOC) shares had fallen by 7.5% as of 12:01 p.m. Thursday due to widespread investor pessimism about growth stocks after the Federal Reserve's interest rate hike announcement Wednesday. At that point in the session, the S&P 500 was down by about 3%.
Teladoc's latest drop marks yet another setback for its shareholders, who have seen the stock fall by more than 80% in the last 12 months.
Unprofitable growth stocks that were popular during the last couple of years are getting hit especially hard by the news of the Fed's 75-basis-point federal funds rate hike and the probability of further large increases over the course of the rest of the year. Those companies' interest expenses are likely to skyrocket if they need to take out new loans.
Source Fool.com
