The markdowns came after Teladoc reported weaker-than-expected quarterly profit.
Teladoc posted a loss of $1.31 a share, widening from 40 cents last year. Analysts expected a first-quarter loss of 40 cents.
In addition, Teladoc didn’t raise its estimate for paid U.S. memberships this year, Bloomberg reports.
The Purchase, N.Y., company traded at $177.60, down 4.67%. It has slid 18% in the past six months amid investor concern about heavy competition in the telemedicine space.
As for the analysts, Evercore ISI’s Elizabeth Anderson lowered her price target to $185 from $195 and kept her in-line rating. She saw positives and negatives in the earnings report,.
The membership forecast and lower guidance for EBITDA in the second half of 2021, as expenses increase, were negatives, she said.
But “bulls were excited by the increased revenue outlook, including the combined sales pipeline and TDOC’s specialty and mental health traction,” Anderson said.
Cowen’s Charles Rhyee cut his price target to $240 from $268, maintaining his outperform rating.
Earnings were solid, but investors expected better and were disappointed visit gains “didn’t flow through to revenue,” he said.
Citi analyst Daniel Grosslight reduced his price target to $260 from $275, but kept his buy rating.
“By most metrics, TDOC’s quarter was solid,” he said, according to Bloomberg. But Teladoc faces “greater competitive intensity.”
On March 30, TheStreet founder Jim Cramer waxed bullish on the company.
“This is seen as a stay-at-home stock. Buy more on weakness," he said.