Shares of virtual healthcare operator Teladoc Health (NYSE:TDOC) have plummeted due to the company’s underwhelming third-quarter earnings and are currently trading at less than $100. Although the company’s personalized virtual care solutions should benefit the stock, its high valuation and expanding losses in the face of rising competition could be concerning. So, is it worth adding the stock to one’s portfolio now? Read on to learn more.Dallas, Tex.-based Teladoc Health, Inc. (TDOC) provides business-to-business virtual healthcare services in the United States and worldwide. Ranked first in KLAS for Virtual Care Platforms in 2020 and first among direct-to-consumer telehealth providers in the J.D. Power 2021 U.S. Telehealth Satisfaction Study, the company leverages more than a decade of expertise to meet consumers and healthcare professionals growing virtual care needs.
However, the stock has declined 52.8% year-to-date and 13.5% over the past month, closing yesterday’s trading session at $94.38.
TDOC’s “myStrength Complete” personalized mental health service and strategic agreement with NLA to offer its suite of chronic care solutions may strengthen its position in the telehealth industry. However, the company’s bleak growth prospects and slim profit margins may continue to worry investors. Furthermore, in a highly competitive market, the stock may be unable to sustain its high valuation.