Teladoc (TDOC) Q3 Earnings Report Preview: What To Look For

TDOC Cover Image

Digital medical services platform Teladoc Health (NYSE: TDOC) will be announcing earnings results this Wednesday afternoon. Here’s what to look for.

Teladoc beat analysts’ revenue expectations by 1.6% last quarter, reporting revenues of $631.9 million, down 1.6% year on year. It was a mixed quarter for the company, with a solid beat of analysts’ EBITDA estimates but EBITDA guidance for next quarter missing analysts’ expectations significantly. It reported 102.4 million users, up 10.8% year on year.

Is Teladoc a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting Teladoc’s revenue to decline 2.3% year on year to $625.8 million, in line with the 3% decrease it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.31 per share.

Teladoc Total Revenue

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Teladoc has missed Wall Street’s revenue estimates four times over the last two years.

Looking at Teladoc’s peers in the consumer internet segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Coursera delivered year-on-year revenue growth of 10.3%, beating analysts’ expectations by 2.1%, and Netflix reported revenues up 17.2%, in line with consensus estimates. Coursera traded down 12.7% following the results while Netflix was also down 10.1%.

Read our full analysis of Coursera’s results here and Netflix’s results here.

Investors in the consumer internet segment have had fairly steady hands going into earnings, with share prices down 1.5% on average over the last month. Teladoc is up 10.4% during the same time and is heading into earnings with an average analyst price target of $9.25 (compared to the current share price of $9.05).

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