1. Teladoc Health, Inc. (NYSE:TDOC)
Number of Hedge Fund Holders: 40
Teladoc Health, Inc. (NYSE:TDOC) is a multinational telemedicine company that also offers AI and analytics platform services. Recently, Baird showed confidence in the healthcare tech and sees upside potential in Teladoc Health, Inc. (NYSE:TDOC), mainly due to the new Omicron Covid-19 variant. The firm set a $110 price target on the stock while maintaining a Neutral rating on the shares.
As of Q3, Teladoc Health, Inc. (NYSE:TDOC) was the second-largest holding of ARK Investment Management. Currently, the hedge fund holds roughly 16.5 million shares in the company, valued at $2.08 billion. Teladoc Health, Inc. (NYSE:TDOC) represented 5.01% of Cathie Wood’s portfolio. In Q3, the company reported revenue of $521.6 million, up 80.6% from the prior-year quarter.
Of the 867 hedge funds tracked by Insider Monkey, 40 hedge funds held stakes in Teladoc Health, Inc. (NYSE:TDOC), compared with 43 in the previous quarter. These stakes have a total value of over $2.8 billion.
Luca Capital mentioned Teladoc Health, Inc. (NYSE:TDOC) in its Q3 2021 investor letter. Here is what the firm has to say:
“As bullish as we are on the future of telemedicine though, we acquiesce that it can be difficult to build a durable moat. Although telemedicine is very scalable and an easy sell (everyone is a potential customer), the service itself is a commodity with little pricing power and low switching costs. However, scale is a significant advantage as a larger network of providers confers lower connection times and wider coverage. In addition, different areas of the country have varying access to care at any given time, but since regulations now allow providers to see patients across all states, we can better match doctors with patients under a national network, similar to “load balancing” in computing. Since Teladoc is international too, there also exists an opportunity to see patients across international borders. These are just a handful of reasons why we do not believe off-the-shelf consumer products like Zoom or Twilio will eventually replace the core telemedicine providers. They’re not integrated, not on-demand, limited to local physician supply, not accessible at the point-of-care via carts or other hospital equipment, and there’s nothing like Livongo to give the providers a continuous picture of patient health. Teladoc also allows whitelabelling, which enables health systems to take advantage of Teladoc’s additional provider supply while retaining the brand their patients have come to know and trust. However, while this incentivizes health systems to go with specialized platforms like Teladoc or Amwell, it’s making it more difficult for end-consumers to differentiate the major telemedicine providers at the product-level.”
You can also take a look at 10 Best Stocks Under $10 in Cathie Wood’s Portfolio and Cathie Wood Stock Portfolio: 10 Newest Stock Picks This Year
