SHAREHOLDER ACTION REMINDER: Faruqi & Faruqi, LLP investigates claims on behalf of Teladoc investors

Securities litigation partner James (Josh) Wilson encourages investors who have suffered losses in Teladoc to contact him directly to discuss their options

If you purchased or acquired securities investing in Teladoc stock or options between November 2, 2022 and February 20, 2024 and would like to discuss your legal rights, Call Faruqi & Faruqi Partner Josh Wilson direct at 877-247-4292 or 212-983-9330 (extension 1310). For more information you can also click here: www.faruqilaw.com/TDOC.

New York, New York–(Newsfile Corp. – July 14, 2024) – Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Teladoc Health, Inc. (“Teladoc” or the “Company”) (NYSE: TDOC) and reminds investors of the Deadline: 16 July 2024 to serve as lead plaintiff in a federal securities class action lawsuit filed against the Company.

Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. Since its founding in 1995, the firm has recovered hundreds of millions of dollars for investors. See www.faruqilaw.com.

The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements and failed to disclose material adverse facts about the Company’s business, operations and prospects. Specifically, Defendants failed to disclose to investors that: (1) Teladoc continued to increase its marketing spending throughout 2023 despite public assurances that it would scale back its advertising spending; (2) increased marketing spending on BetterHelp worsened Teladoc’s revenue, with little return on that investment; (3) despite Teladoc’s admission that increased advertising spending would be marginally inefficient due to market saturation, it continued to increase its advertising spending on the BetterHelp business; and (4) despite public statements that there was still “a long runway” for BetterHelp membership growth, BetterHelp membership stagnated and then declined in 2023 due to market saturation, largely due to BetterHelp’s own marketing.

On February 20, 2024, Teladoc announced its fourth quarter and full year results for the period ending December 31, 2023. The announcement revealed that Teladoc had experienced significantly less growth than previously forecast. The company also announced that it expects revenue declines for its BetterHelp segment, an online counseling service. Analysts attributed this trend to BetterHelp’s market saturation and increased advertising costs, which led to an increase in customer acquisition costs.

Following the release of the earnings report, Teladoc shares fell $4.85/share, or 23.6%, overnight.

The court-appointed lead plaintiff will be the investor with the greatest financial interest in the relief sought by the class, who is reasonable and typical of class members, and who will direct and oversee the litigation on behalf of the putative class. Any member of the putative class may, through counsel of his or her choosing, ask the court to serve as lead plaintiff, or he or she may choose to do nothing and remain an absent class member. Your ability to share in any relief will not be affected by your decision to serve as lead plaintiff.

Faruqi & Faruqi, LLP also encourages anyone with information regarding Teladoc’s conduct, including whistleblowers, former employees, shareholders and others, to contact the company.

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To view the original version of this press release, please visit https://www.newsfilecorp.com/release/216346