Critical Contrast: Teladoc Health (TDOC) & The Competition

Teladoc Health (NYSE:TDOC) is one of 94 publicly-traded companies in the “Medical Services” industry, but how does it contrast to its peers? We will compare Teladoc Health to related businesses based on the strength of its earnings, analyst recommendations, valuation, risk, profitability, institutional ownership and dividends.

Volatility and Risk

Teladoc Health has a beta of 1.84, meaning that its stock price is 84% more volatile than the S&P 500. Comparatively, Teladoc Health’s peers have a beta of 1.65, meaning that their average stock price is 65% more volatile than the S&P 500.

Profitability

This table compares Teladoc Health and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Teladoc Health	-8.16%	-10.04%	-4.24%
Teladoc Health Competitors	-745.77%	-27.85%	-12.36%

Analyst Ratings

This is a breakdown of current ratings for Teladoc Health and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Teladoc Health	0	13	7	0	2.35
Teladoc Health Competitors	426	2271	4856	158	2.62

Teladoc Health currently has a consensus price target of $9.67, indicating a potential upside of 30.51%. As a group, “Medical Services” companies have a potential upside of 427.19%. Given Teladoc Health’s peers stronger consensus rating and higher probable upside, analysts clearly believe Teladoc Health has less favorable growth aspects than its peers.

Earnings and Valuation

This table compares Teladoc Health and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Teladoc Health	$2.57 billion	-$1.00 billion	-1.25
Teladoc Health Competitors	$12.97 billion	$238.11 million	6.31

Teladoc Health’s peers have higher revenue and earnings than Teladoc Health. Teladoc Health is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Institutional and Insider Ownership

76.8% of Teladoc Health shares are held by institutional investors. Comparatively, 58.1% of shares of all “Medical Services” companies are held by institutional investors. 0.6% of Teladoc Health shares are held by insiders. Comparatively, 13.1% of shares of all “Medical Services” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

Teladoc Health peers beat Teladoc Health on 8 of the 13 factors compared.

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. The BetterHelp segment operates a mental health platform that provides online counseling and therapy services through website, mobile applications, phones, and text-based interactions by its licensed clinicians. The company offers its products and services under the Teladoc, Livongo, and BetterHelp brands. It serves employers, health plans, hospitals and health systems, and insurance and financial services companies, as well as individual members. The company was formerly known as Teladoc, Inc. and changed its name to Teladoc Health, Inc. in August 2018. Teladoc Health, Inc. was incorporated in 2002 and is headquartered in Purchase, New York.