#7 - Teladoc Health (NYSE:TDOC)
Have you missed the rally on Teladoc Health (NYSE:TDOC)? The stock was going up before the pandemic, but it has now surged to a gain of just over 100% for the year. But this may be a question of being in the right place at the right time.
If you have flu-like symptoms, you don’t want to go to the doctor’s office and doctors would prefer you stay home, unless your condition worsens. But you may still need to be “seen” by a doctor. That’s where Teladoc comes in.
There are many risks to this stock. First, although the Trump administration is authorizing an expansion of telehealth services, this is not available in every state. And, even if a state does offer such services, there is a lack of doctors who are participating. In fact, in the state of Washington, doctors who are properly vetted can treat patients remotely even if they are not licensed in that state (they must be licensed elsewhere).
At this time, approximately 260 doctors have volunteered. However the vetting process is lengthy and expensive. It’s not clear yet if this will work out of not. And there’s also going to be a question of how well this idea will gain acceptance by patience. It’s one thing to avoid going to the grocery store. It’s another to allow an injury or illness to be diagnosed without actually seeing a doctor.
But, like many things, often times the best opportunities happen when investors have the audacity to believe in it.
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
- $9.79
- Consensus Rating
- Hold
- Ratings Breakdown
- 7 Buy Ratings, 14 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $12.24 (25.0% Upside)
Fear is one of the strongest, and least productive, emotions in investing. The herd mentality has done in many an investor. After two weeks of intense selling, many investors are realizing that the Covid-19 pandemic, like many crisis points before it, can be a buying opportunity. But that’s not true of every stock.
One thought that seems to be crystallizing is that our society will be more reliant on technology than ever before. Coming out of this pandemic, if there is an app for that, we will use it and stay safe in our homes for things like buying groceries and maybe even to checking in with our doctors.
The stocks that we have listed in this presentation include some familiar names, and some names that may be new to you. But they all look to be strong buying opportunities as we are coming out of this pandemic and for some time to come.
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