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Why Teladoc (TDOC) Outpaced the Stock Market Today

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Teladoc (TDOC - Free Report) closed the latest trading day at $8.16, indicating a +0.87% change from the previous session's end. The stock's change was more than the S&P 500's daily gain of 0.13%. At the same time, the Dow added 0.55%, and the tech-heavy Nasdaq lost 0.52%.

The telehealth services provider's stock has climbed by 13.78% in the past month, exceeding the Medical sector's gain of 3.34% and the S&P 500's gain of 3.67%.

The upcoming earnings release of Teladoc will be of great interest to investors. The company is forecasted to report an EPS of -$0.29, showcasing a 17.14% upward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $630.5 million, down 4.5% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of -$5.36 per share and a revenue of $2.55 billion, demonstrating changes of -300% and -1.97%, respectively, from the preceding year.

Investors should also pay attention to any latest changes in analyst estimates for Teladoc. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.8% decrease. Teladoc currently has a Zacks Rank of #3 (Hold).

The Medical Services industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 172, finds itself in the bottom 33% echelons of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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