Is Teladoc Inc (TDOC) A Good Stock to Buy?

We already know that not all hedge funds are bullish on the stock and some hedge funds actually cut their positions entirely. At the top of the heap, Steve Cohen’s Point72 Asset Management cut the biggest stake of the 700 funds watched by Insider Monkey, valued at about $1.7 million in stock. Joseph Mathias’ fund, Concourse Capital Management, also sold off its stock, about $0.4 million worth.

Let’s go over hedge fund activity in other stocks similar to Teladoc Inc (NYSE:TDOC). We will take a look at Meridian Interstate Bancorp, Inc. (NASDAQ:EBSB), Energy Recovery, Inc. (NASDAQ:ERII), Raven Industries, Inc. (NASDAQ:RAVN), and TCP Capital Corp (NASDAQ:TCPC). This group of stocks’ market caps match TDOC’s market cap.

As you can see these stocks had an average of 12 hedge funds with bullish positions and the average amount invested in these stocks was $58 million. That figure was $46 million in TDOC’s case. Energy Recovery, Inc. (NASDAQ:ERII) is the most popular stock in this table. On the other hand TCP Capital Corp (NASDAQ:TCPC) is the least popular one with only 6 bullish hedge fund positions. Compared to these stocks Teladoc Inc (NYSE:TDOC) is only as popular as TCPC. Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock.

Disclosure: None