Teladoc Health Inc (NASDAQ: TDOC) stock price has fallen 30.7% since January as the momentum behind the stock diminished amid dimming investor expectations.
However, does this mean that TDOC will keep falling for the foreseeable future? Based on the stock’s analyst ratings, the answer is a resounding no, given that average analyst ratings predict the stock will rise 44% over the next 12 months.
The telemedicine company saw its share price surge 139% in 2020, driven by the boom in revenues due to the COVID-19 lockdown restrictions, but the bullish momentum behind the stock has fizzled out this year.
Teladoc recently signed a three-year partnership agreement with Health Care Service Corporation (HCSC) to provide care to its chronically ill patients. HCSC is the fifth-largest insurer in the United States.
The Primary360 platform, Teladoc’s virtual primary care hub, is also gaining traction among US companies, with the company expecting to sign contracts with more Fortune 1000 companies by the end of 2021.
The company is not sitting on its laurels and recently launched a new product dubbed myStrength Complete combining its psychiatric and therapist teams. The new service takes advantage of metal health functions that were part of the technology platform inherited from Livigno Health after its acquisition.
Teladoc is also keen to expand its international presence and recently partnered with Telefonica, a Brazilian telecoms company, to offer its services to over 60 million customers in Brazil.
Overall, Teladoc’s long-term prospects appear pretty promising, which should appeal to long-term investors in the sector.
Teladoc shares just bounced off a significant support area from a price action standpoint and could be ready to rally higher. The shares have been up 5.1% over the past week.
*This is not investment advice.
Teladoc stock price.
Teladoc stock price has fallen 30.76% this year but appears to have bottomed. Can it surge higher?
Should you invest in Teladoc stock?
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