#6 - Teladoc Health (NYSE:TDOC)
Teladoc Health (NYSE:TDOC) operates on such a simple premise that it’s amazing it’s taken this long. Why shouldn’t we be able to pick up the phone and call a doctor to get medical advice, particularly as it relates to something that is not life-threatening? Parents with young children frequently need to decide whether to wake up their (hopefully) on-call pediatrician or rely on what they read on WebMD.
Teladoc Health improves on that dynamic by allowing patients to talk to a licensed physician. This is becoming even more important as patients are afraid that going to a doctor’s office may make them sicker than when they arrived.
But put the safety issue aside. What Teladoc is tapping into is what doctors and patients have always known. There are times when office visits are not necessary. Some things can be handled with a phone call, at least initially. Health care costs are not likely to come down anytime soon. Any service that helps reduce costs is going to have an advantage in the next decade.
Investors may be concerned that Teladoc is a fly-by-night concept. But they shouldn’t worry because companies like Zoom are eager to get into this space. That could lead to a second concern, that is, does Teladoc have a moat. It may not have a large moat, but it has a small one and a great first-mover advantage for now. Eventually, health insurance companies will probably get involved with this, and that may weed out competition.
About Teladoc Health
Teladoc Health, Inc provides virtual healthcare services worldwide. The company operates through Teladoc Health Integrated Care and BetterHelp segments. The Integrated Care segment offers virtual medical services, including general medical, expert medical, specialty medical, chronic condition management, and mental health, as well as enabling technologies and enterprise telehealth solutions for hospitals and health systems.
Read More - Current Price
- $10.63
- Consensus Rating
- Hold
- Ratings Breakdown
- 7 Buy Ratings, 14 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $12.08 (13.7% Upside)
