Group 1 - The article discusses the potential for investors to identify undervalued stocks that are mispriced by the market in Q4 [1] - Stone Fox Capital is an RIA based in Oklahoma, led by Mark Holder, who has extensive experience in investing and portfolio management [2] - The investing group "Out Fox The Street" provides stock picks, model portfolios, daily updates, and real-time alerts to help investors uncover potential multibaggers while managing portfolio risk [2]

Group 1 - The article discusses the potential for investors to identify undervalued stocks that are mispriced by the market in Q4 [1] - Stone Fox Capital is an RIA based in Oklahoma, led by Mark Holder, who has extensive experience in investing and portfolio management [2] - The investing group "Out Fox The Street" provides stock picks, deep research, model portfolios, daily updates, and real-time alerts to help investors uncover potential multibaggers while managing portfolio risk [2]

Core Insights - Teladoc Health, Inc. (TDOC) shares have decreased by 8.9% following the release of its third-quarter 2025 results, primarily due to a decline in access fee revenues, U.S. revenues, and weaker performance in the BetterHelp segment, although this was partially mitigated by strong international revenue growth and reduced expenses [1] Financial Performance - The adjusted loss per share for Q3 2025 was 21 cents, which was narrower than the Zacks Consensus Estimate of a 26-cent loss but wider than the 19-cent loss from the previous year [2] - Operating revenues fell by 2% year over year to $626.4 million, although this figure exceeded the consensus estimate by 0.2% [2] - Access fee revenues decreased by 6% year over year to $520.9 million, missing the Zacks Consensus Estimate of $534 million [3] - Other revenues increased by 24% year over year to $105.5 million, surpassing the consensus estimate of $91 million [3] Geographical Revenue Breakdown - U.S. revenues totaled $509.8 million, down 5% year over year, falling short of the Zacks Consensus Estimate of $521 million [4] - International revenues rose by 12% year over year to $116.7 million, exceeding the consensus estimate of $105 million [4] Expense Management - Total costs and expenses decreased by 1% year over year to $678.4 million, which was lower than the estimate of $691.4 million, driven by reductions in advertising, marketing, technology, and administrative expenses [5] Segment Performance - The Integrated Care segment's revenues grew by 2% year over year to $389.5 million, beating the consensus estimate [6] - The BetterHelp segment's revenues fell by 8% year over year to $236.9 million, missing the consensus estimate [7] Membership and Visits - Total visits to Teladoc Health reached 4.1 million, a 1% increase year over year, surpassing the consensus estimate of 4 million [8] - U.S. Integrated Care Members increased by 9% year over year to 102.5 million, exceeding the consensus estimate [8] Cash Flow and Financial Position - Cash and cash equivalents at the end of Q3 2025 were $726.2 million, down 44.1% from the end of 2024 [10] - Net cash from operations was $99.3 million, a decrease of 9.9% year over year [11] - Free cash flow dropped by 14% year over year to $67.9 million [11] Future Outlook - For Q4 2025, Integrated Care segment revenues are expected to grow by 1-5.2% year over year, while BetterHelp segment revenues are projected to decline by 8.8-3.8% [12] - Total revenues for Q4 are anticipated to be between $622 million and $652 million [13] - For the full year 2025, total revenues are now expected to be between $2.510 billion and $2.539 billion, with an adjusted EBITDA forecast of $270-$287 million [16]

Core Insights - Teladoc Health (TDOC) is positioned to benefit from the growing telemedicine market, driven by regulatory support and increasing demand for remote healthcare services [2][10] - The U.S. telehealth market is projected to grow from $42.61 billion in 2024 to $358.96 billion by 2034, providing significant opportunities for Teladoc [4] - Teladoc's partnership with Microsoft aims to enhance its Solo platform with AI, improving clinical documentation and care quality [3][10] Company Positioning - Teladoc continues to invest heavily in client acquisition, provider network development, and technology innovation, which strengthens its competitive position in virtual care [5] - The company aims to be the primary "front door" to the healthcare system for millions of members globally [5] Market Dynamics - HCA Healthcare and CVS Health are also well-positioned to capitalize on telemedicine growth, with HCA integrating virtual care across its network and CVS leveraging its retail and pharmacy services [6][7] - Both competitors are investing in digital health infrastructure and remote monitoring to seize opportunities in the evolving healthcare landscape [8] Financial Performance - Teladoc's shares have decreased by 17.2% year to date, contrasting with a 3.1% increase in the industry [9] - The company is trading at a forward 12-month price-to-sales multiple of 0.53, higher than the industry average of 0.45 [11] Estimates and Projections - The Zacks Consensus Estimate for TDOC's fourth-quarter 2025 loss has narrowed by 1 cent, while the first-quarter 2026 loss has improved by 2 cents over the past 30 days [12] - The consensus estimates for 2025 revenues indicate a year-over-year decline, while those for 2026 suggest a year-over-year increase [12]

Core Insights - Teladoc Health (TDOC) reported third-quarter 2025 results with revenues of $626.4 million, a 2.2% decline year over year, but exceeded the Zacks Consensus Estimate. The company experienced a wider loss compared to the previous year [1][3][9]. Financial Performance - Revenues of $626.4 million decreased by 2.2% year over year, with the Integrated Care segment revenues of $389.5 million increasing by 2%, while BetterHelp segment revenues fell by 8% to $236.9 million [3][4][9]. - Adjusted EBITDA was $70 million, down 16% year over year, but at the high end of guidance, resulting in an adjusted EBITDA margin of 11.2% [3][5]. - The net loss per share was 21 cents, wider than the 19 cents loss in the same quarter last year, but beat the consensus estimate by 19.2% [5][9]. Market Position and Strategy - Teladoc is a leading player in the telehealth market, targeting a $261 billion total addressable market in the U.S. [2]. - The company is enhancing its leadership in integrated care by expanding service offerings and improving patient outcomes through initiatives like the Prism care delivery platform, with active pilots expected to launch in 2026 [6]. - An acquisition-driven growth strategy has broadened Teladoc's distribution capabilities and enriched its service portfolio [7]. Geographic Performance - U.S. revenues decreased by 5% to $509.8 million, while international revenues increased by 12% to $116.7 million, providing crucial diversification amid intensifying competition in the U.S. market [4][8]. Future Outlook - Teladoc expects consolidated revenues for 2025 to be between $2.510 billion and $2.539 billion, with adjusted EBITDA projected between $270 million and $287 million [5][9]. - Free cash flow is anticipated to be in the range of $170 million to $185 million [5]. Valuation and Market Comparison - Teladoc's stock has lost 12.2% year to date, contrasting with industry peers like HCA Healthcare and CVS Health, which have gained 57.1% and 73.9%, respectively [12][13]. - The company is currently trading at a forward price-to-sales multiple of 0.56, higher than the industry average of 0.46, indicating a premium valuation [17][18]. Industry Trends - The telehealth market is experiencing rising demand for remote medical expertise, positioning Teladoc to benefit from this trend as telemedicine enhances healthcare access [19].

Core Viewpoint - Teladoc Health is facing ongoing challenges despite a recent uptick in stock performance, with a significant decline in revenue and increased competition in the telehealth sector [2][3][10] Financial Performance - Year-to-date, Teladoc's shares have decreased by 8%, although they have gained 21% over the past six months [2] - Third-quarter revenue fell by 2% year-over-year to $626.4 million, and the loss per share increased to $0.28 from $0.19 in the previous year [3] Leadership Changes - Recent leadership changes, including the replacement of the CFO and the upcoming CEO transition, may have contributed to a more optimistic outlook among some investors [4] Valuation Metrics - The company's forward price-to-sales (P/S) ratio is currently at 0.6, suggesting it may be trading at a deep discount [4] Growth Opportunities - Teladoc aims to expand insurance coverage for its BetterHelp virtual therapy service, which could enhance performance in that segment [5][6] - The acquisition of UpLift, a virtual mental health service, could potentially increase sales if marketing efforts successfully boost adoption [6] - International revenue growth presents another opportunity for improvement, although challenges remain [7] Competitive Landscape - The virtual care segment is highly competitive, with Teladoc's user base for BetterHelp declining despite aggressive marketing [8] - Competitors already have established relationships with insurers, making it uncertain whether Teladoc can attract enough new members [9] Investment Outlook - Given the company's struggles to achieve profitability in the U.S. market, there are doubts about its ability to perform better internationally [10]

Membership and Enrollment - U.S. Integrated Care members increased by 8.6 million, or 9%, to 102.5 million at September 30, 2025, compared to the same period in 2024[123] - Chronic care program enrollment decreased by 1% to 1.165 million at September 30, 2025, compared to 1.179 million at September 30, 2024[124] - BetterHelp paying users decreased by 4% to 0.382 million for the three months ended September 30, 2025, compared to 0.398 million for the same period in 2024[126] Revenue Performance - Total revenue for Q3 2025 was $626.4 million, a decrease of $14.1 million, or 2%, compared to Q3 2024[141] - Revenue from the BetterHelp segment decreased, while Integrated Care segment revenue increased, contributing to the overall revenue change[142] - Total revenue for the nine months ended September 30, 2025, was $1,887.7 million, a decrease of $41.4 million, or 2%, compared to the same period in 2024[142] - U.S. revenue for Q3 2025 was $509.8 million, a decrease of $26.4 million, or 5%, compared to Q3 2024[141] - International revenue for Q3 2025 was $116.7 million, an increase of $12.3 million, or 12%, compared to Q3 2024[141] - BetterHelp total revenue decreased by $19.9 million, or 8%, to $236.9 million for the three months ended September 30, 2025, and decreased by $73.7 million, or 9%, to $717.2 million for the nine months ended September 30, 2025[167] Expenses and Costs - Cost of revenue for Q3 2025 was $187.2 million, an increase of $7.4 million, or 4%, compared to Q3 2024[143] - Advertising and marketing expenses for Q3 2025 were $168.0 million, a decrease of $9.5 million, or 5%, compared to Q3 2024[144] - Technology and development expenses for Q3 2025 were $67.6 million, a decrease of $4.8 million, or 7%, compared to Q3 2024[146] - General and administrative expenses decreased by $11.7 million, or 10%, to $102.6 million for the three months ended September 30, 2025, compared to $114.2 million for the same period in 2024[148] - Research and development costs for the three months ended September 30, 2025, were $21.5 million, a decrease from $22.4 million in the same period of 2024[147] - Integrated Care cost of revenue increased by $11.2 million, or 10%, to $124.3 million for the three months ended September 30, 2025[163] - Cost of revenue decreased by $3.2 million, or 5%, to $62.4 million for the three months ended September 30, 2025, primarily due to lower therapist costs[168] - Advertising and marketing expenses decreased by $8.8 million, or 6%, to $134.6 million for the three months ended September 30, 2025, reflecting lower spending on digital and media advertising[169] - Other segment expenses increased by $3.5 million, or 11%, to $36.0 million for the three months ended September 30, 2025, driven by higher employee compensation[170] Profitability and Loss - Net loss for Q3 2025 was $49.5 million, an increase of $16.2 million, or 49%, compared to Q3 2024[140] - Adjusted EBITDA for Q3 2025 was $69.9 million, a decrease of $13.3 million, or 16%, compared to Q3 2024[140] - Adjusted EBITDA for the three months ended September 30, 2025, was $3.8 million, a decrease of $11.4 million or 75% compared to the prior year[167] Cash Flow and Financial Position - Net cash provided by operating activities was $206.6 million for the nine months ended September 30, 2025, compared to $207.8 million for the same period in 2024[176] - Cash used in investing activities was $231.7 million for the nine months ended September 30, 2025, significantly higher than $94.4 million for the same period in 2024[178] - Free cash flow was $113.5 million for the nine months ended September 30, 2025, compared to $113.4 million for the same period in 2024[181] - As of September 30, 2025, the company had cash and cash equivalents totaling $726.2 million, sufficient to meet working capital and capital expenditure needs for at least the next 12 months[172] Strategic Outlook and Risks - The company expects tariffs on imported goods to impact consolidated results of operations, particularly for components used in virtual healthcare devices[121] - The company faces risks from competition as health plans may develop solutions that replicate its services[123] - The company aims to increase membership to drive innovation and enhance member experiences[123] - The company’s business is subject to seasonality, with higher visit and fee revenue typically occurring in the first and fourth quarters[127] Impairments and Costs - Goodwill impairments recognized for the three months ended September 30, 2025, totaled $12.6 million, contributing to a year-to-date total of $71.8 million[149] - Acquisition, integration, and transformation costs were $1.9 million for the three months ended September 30, 2025, compared to $0.5 million for the same period in 2024[150] - Restructuring costs for the three months ended September 30, 2025, were $2.0 million, down from $3.6 million in the same period of 2024[151][152]

Core Insights - Teladoc reported revenue of $626.44 million for the quarter ended September 2025, a decrease of 2.2% year-over-year, with an EPS of -$0.21 compared to -$0.19 in the same quarter last year [1] - The revenue exceeded the Zacks Consensus Estimate of $625.02 million by 0.23%, while the EPS surprised positively by 19.23% against the consensus estimate of -$0.26 [1] Financial Performance Metrics - Average Monthly Revenue Per U.S. Integrated Care Member was $1.27, matching analyst estimates [4] - BetterHelp Paying Users totaled 0.38 million, slightly below the estimated 0.39 million [4] - U.S. Integrated Care Members reached 102.5 million, exceeding the average estimate of 102.26 million [4] - Chronic Care Program Enrollment was 1.17 million, slightly above the estimate of 1.16 million [4] Revenue by Segment - Integrated Care revenue was $389.54 million, surpassing the estimate of $388.13 million, reflecting a year-over-year increase of 1.5% [4] - BetterHelp revenue was $236.9 million, below the estimate of $237.7 million, indicating a year-over-year decline of 7.8% [4] - BetterHelp-Other Wellness Services generated $5.1 million, compared to the estimate of $5.28 million, representing an 18.5% year-over-year decrease [4] - BetterHelp-Therapy Services revenue was $231.8 million, slightly below the estimate of $231.99 million, showing a 7.5% decline year-over-year [4] Revenue by Type - Other revenue amounted to $105.53 million, exceeding the estimate of $90.63 million, with a year-over-year increase of 23.8% [4] - Access fees revenue was $520.91 million, below the estimate of $533.92 million, reflecting a 6.2% year-over-year decline [4] Adjusted EBITDA - Adjusted EBITDA for BetterHelp was $3.84 million, significantly lower than the average estimate of $8.46 million [4] - Adjusted EBITDA for Integrated Care was $66.07 million, exceeding the estimate of $59.01 million [4] Stock Performance - Teladoc shares returned +8.2% over the past month, outperforming the Zacks S&P 500 composite's +3.8% change [3] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3]

Core Insights - Teladoc (TDOC) reported a quarterly loss of $0.21 per share, better than the Zacks Consensus Estimate of a loss of $0.26, representing an earnings surprise of +19.23% [1] - The company generated revenues of $626.44 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 0.23%, although this is a decline from $640.51 million in the same quarter last year [2] - Teladoc has outperformed consensus EPS estimates three times over the last four quarters and has topped revenue estimates four times in the same period [2] Financial Performance - The company has shown a favorable trend in estimate revisions ahead of the earnings release, leading to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] - Current consensus EPS estimate for the upcoming quarter is -$0.19 on revenues of $636.73 million, while for the current fiscal year, the estimate is -$1.17 on revenues of $2.52 billion [7] Market Context - Teladoc shares have declined approximately 8% since the beginning of the year, contrasting with the S&P 500's gain of 17.2% [3] - The Medical Services industry, to which Teladoc belongs, is currently ranked in the top 39% of over 250 Zacks industries, suggesting a favorable industry outlook [8]

Group 1 - The article does not provide any specific content or key points related to a company or industry [1]