Teladoc slides on 'anemic' 2024 sales forecast

Teladoc Health

21/02/2024 11:57

Feb 21 (Reuters) - Shares of Teladoc Health  TDOC.N 
slumped 20% after the biggest publicly listed telehealth firm
forecast 2024 sales below expectations on sluggish demand for
its online mental health platform.
    At least two analysts said while the company managed to
improve its margin in the fourth quarter, the weaker sales
forecast for this year highlighted continued challenges in
demand for its online mental health platform, BetterHelp.
    Citi analyst Daniel Grosslight said BetterHelp and the
"anemic" forecast would likely weigh on shares.
    The company expects its 2024 sales to be in the range of
$2.64 billion to $2.74 billion, compared with analysts'
estimates of $2.77 billion, according to LSEG data.
    Sales from BetterHelp during the quarter marginally fell to
$276.17 million, as the number of people visiting the website
declined and the cost of customer acquisition rose.
    Teladoc's fourth-quarter sales came in at $660.50 million,
missing analysts' estimates of $671.40 million.
    Teladoc shares were at $16.20 in premarket trading. The
stock has fallen 32% in the last 12 months.

    

 (Reporting by Khushi Mandowara in Bengaluru; Editing by Vijay
Kishore)
 ((Khushi.Mandowara@thomsonreuters.com;))