By Senad Karaahmetovic
Shares of Teladoc (NYSE:TDOC) are trading up 9% in pre-market trading after the company delivered a “solid” Q3 earnings report.
Teladoc delivered a Q3 loss per share of $0.45, better than the expected loss of $0.57 per share. Revenue for the quarter came in at $611.4 million versus the consensus estimate of $608.76 million. Total visits were reported at 4.57 million, missing the 4.8 million consensus.
For this quarter, the company is expecting to see a loss per share that ranges from $0.40 to $0.10 on revenue in the range of $625 million to $640 million. Analysts were looking for a loss per share of $0.26 on revenue of $637.25 million. Total visits are expected at 4.7-4.9 million, again lower than the 5.1 million estimate.
Teladoc also said it expects full-year revenue between $2.4 and $2.41 billion, lower than the prior guidance of $2.4-2.5 billion, but just above the $2.4 billion consensus. A full-year loss per share is seen between $61.10 and $61.40 while Total visits are now estimated at 18.4-18.6 million, higher than the 18.2 million consensus and below the prior 18.8-19.3 million outlook
Citi analysts cut the price target to $36 from the prior $38 on TDOC shares.
“TDOC isn’t out of the woods yet, but solid 3Q results, a less bad than feared FY22 guidance reduction, and encouraging pipeline commentary demonstrate that a clear path forward is beginning to emerge. And while this was by no means a blowout quarter, given sentiment was at a nadir heading into the print, we expect the stock to trade well Thursday, particularly given adj. EBITDA outperformance,” they said.
BTIG analysts added:
“We like the results this quarter but TDOC will guide for 2023 when the company reports 4Q:22 results, and we worry about a reduction to long-term growth rate expectations. We maintain our Neutral rating on TDOC.”