SAN DIEGO, May 20, 2024 (GLOBE NEWSWIRE) — Robbins LLP informs investors that a shareholder filed a class action on behalf of persons and entities that purchased or otherwise acquired Teladoc Health, Inc. (NYSE: TDOC) stock between November 2, 2022 and February 20, 2024. Teladoc provides direct-to-consumer, online health services. One of Teladoc’s services is “BetterHelp,” an online mental health counseling platform. Teladoc also provides online primary care and chronic disease management services.
For more information, submit a form, email attorney Aaron Dumas, Jr., or give us a call at (800) 350-6003.
The Allegations: Robbins LLP is Investigating Allegations that Teladoc Health, Co. (TDOC) Misled Investors Regarding its Marketing Spend and its Impact on Revenue
According to the complaint, on February 20, 2024, Teladoc released Q4-2024 earnings. In the Form 10-K filed with the SEC, Teladoc revealed its substantially increased advertising costs, which was $668,854,000, up from $623,536,000 in 2022, while the associated investor presentation revealed that BetterHelp revenue fell $1 million compared to the prior year, and fell approximately $10 million from 3Q-2023 to 4Q-2024. The Company also revealed BetterHelp lost members over two consecutive quarters, despite the increased advertising spend. The related earnings call disclosed that revenue was flat compared to the prior year and down 3% sequentially, well below expectations. On this news, the price of Teladoc shares fell $4.85, or over 23%, to close at $15.64 per share on February 21, 2024.
What Now: You may be eligible to participate in the class action against Teladoc Health, Inc. Shareholders who want to serve as lead plaintiff for the class must file their motions with the court by July 16, 2024. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member. For more information, click here.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.
About Robbins LLP: Some law firms issuing releases about this matter do not actually litigate securities class actions; Robbins LLP does. A recognized leader in shareholder rights litigation, the attorneys and staff of Robbins LLP have been dedicated to helping shareholders recover losses, improve corporate governance structures, and hold company executives accountable for their wrongdoing since 2002. Since our inception, we have obtained over $1 billion for shareholders.
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