Teladoc (TDOC) Q1 earnings and revenues exceed expectations.

Teladoc (TDOC) Q1 earnings and revenues exceed expectations.

Business News: Teladoc (TDOC) Q1 earnings and revenues exceed expectations..

Zacks Equity Research Thu, April 29, 2021, 3:35 AM 3 min read TDOC -1.92% Teladoc (TDOC) came out with quarterly earnings of $ 0.13 per share, beating the Zacks Consensus Estimate of a loss of $ 0.57 per share. This compares to loss of $ 0.40 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of 122.81%. A quarter ago, it was expected that this telehealth services provider would post a loss of $ 0.25 per share when it actually produced a loss of $ 0.27, delivering a surprise of -8%.

Teladoc, which belongs to the Zacks Medical Services industry, posted revenues of $ 453.68 million for the quarter ended March 2021, surpassing the Zacks Consensus Estimate by 0.35%. This compares to year-ago revenues of $ 180.8 million. The company has topped consensus revenue estimates four times over the last four quarters.

The sustainability of the stock’s immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management’s commentary on the earnings call. Teladoc shares have lost about 5% since the beginning of the year versus the S&P 500’s gain of 11.5%.

The telehealth services provider posted revenue of $ 453.7 million in the period, also surpassing Street forecasts. Ten analysts surveyed by Zacks expected $ 452.1 million. Teladoc shares have declined nearly 7% since the beginning of the year. In the final minutes of trading on Wednesday, shares hit $ 186.31, a climb of roughly 3% in the last 12 months.

While Teladoc has underperformed the market so far this year, the question that comes to investors’ minds is: what’s next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company’s earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter (s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.