A video visit for a Teladoc member.
Courtesy of Teladoc
stock’s latest post-earnings decline—it sank in extended trading Wednesday even though the firm’s third-quarter results beat expectations—is nothing new for the virtual health stock.
Teladoc (ticker: TDOC) reported a third-quarter net loss of $84.3 million, or 53 cents a share. Revenue jumped 81% year over year to $522 million. Wall Street’s consensus estimates called for a net loss of 67 cents a share and revenue of $516.63 million, according to FactSet.
Adjusted earnings before interest, taxes, depreciation, and amortization hit $67.4 million, ahead of expectations at $65.3 million, according to FactSet.
Nonetheless, the stock sank 5.1% to $131.50 in after-hours trading, mirroring its moves after the firm’s prior three earnings reports. The stock fell nearly 13% following its fourth-quarter 2020 report and 8% after its first-quarter 2021 report. On the positive side, an initial steep drop on the day following Teladoc’s second-quarter report in July reversed itself, and the stock closed 0.5% higher.
The stock is down about 30% in 2021 following a 138.8% surge in 2020. Though the pandemic provided explosive growth for the firm, it also created a high bar to clear in 2021.
Teladoc reported 52.5 million U.S. paid memberships, up 2% year over year and in line with Wall Street’s consensus estimates. Total visits increased 37% year over year to 3.9 million, exceeding analysts’ estimates of 3.5 million.
For the fourth quarter, the company expects revenue between $536 million and $546 million, compared with the consensus call of $540 million among analysts tracked by FactSet. Teladoc expects total U.S. paid memberships to be between 52.5 million and 53.5 million, with between 3.9 million and 4.1 million total visits.
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