Teladoc (NYSE:TDOC) shares rose over 6% in premarket Wednesday trading after the company raised the lower end of its full-year forecast.
The company now sees full-year revenue at $2.64 billion (the midpoint of the provided range), up from the prior forecast and guidance of $2.63B. Teladoc also sees a loss per share of $1.25-$1.60, better than the prior forecast for a loss per share of $1.25-$1.70.
For this quarter, the company sees a loss per share of $0.45 on revenue of $662.5 million, which compares to the consensus for a loss per share of $0.33 on revenue of $664M.
As far as the second quarter is concerned, revenue rose 10% to $652.4M, topping the consensus of $649.2M. A loss per share came in at $0.40, somewhere in line with the consensus for a loss per share of $0.41.
"This performance is a direct result of introducing and expanding new products and services, investing in a robust innovation pipeline, controlling expenses, and vertically integrating care to capitalize on customer demand for unified virtual and in-person healthcare experiences," the company said in a release.
Citi analysts cut the price target by $2 to $31 per share on the Neutral-rated stock.
"We need to see meaningful contributions from more durable products over the next 2-3 years (e.g. P360 and Provider-based care), before we turn more constructive," the analysts said.
BTIG analysts highlighted "good margin expansion" as cost management is paying off.
"While results were good in the quarter, we worry about moderating earnings growth into 2024, as the RIF measures from 2023 are lapped."