Teladoc's stock plunged on July 30 after the telehealth company reported weaker-than-expected fiscal second-quarter sales and issued muted guidance for the rest of the year, disappointing investors.
The company released its Q2 2026 earnings call presentation slides. According to the earnings report, Teladoc, listed on the NYSE, posted a loss of $0.21 per share for the quarter.
Teladoc's Q2 revenue, down 4% year-over-year.
Revenue came in at $607 million, a 4% decline year-over-year. The primary catalyst behind the disappointing topline performance was continued weakness in BetterHelp, the company's direct-to-consumer mental health segment. BetterHelp revenue fell 12% year-over-year to $212.6 million as cash-paying users exited the platform at an accelerating rate in late May and June.
TDOC shares were struggling as consumer preferences shifted rapidly toward insurance-covered therapy. On the earnings call, CEO Chuck Divita explained that solid demand for insured services outpaced available provider capacity, limiting the company's ability to convert member interest into billed sessions to offset cash-pay declines.
Revenue from the core Integrated Care segment rose 1% year-over-year to $394.3 million. Despite the growth, Teladoc lowered its guidance on Thursday, with management now expecting full-year sales to fall between $2.36 billion and $2.45 billion.
Shares were down about 35% versus their year-to-date high.
The stock was down about 35% versus its year-to-date high. According to Barchart, the put-to-call ratio on Teladoc options contracts expiring mid-October is 0.18x, with the upper price on those contracts indicating potential for a more than 19% rally to $7.78 over the next three months.
Wall Street analysts remain bullish on Teladoc for the remainder of 2026, with a consensus rating of 'Moderate Buy' and a mean price target of about $8, indicating potential upside of more than 22%.
As of the article's publication date, author Wajeeh Khan did not have positions in any of the securities mentioned. The article was originally published on Barchart.com.