Teladoc Health provides telehealth services via mobile devices, the Internet, video, and phone to clients and their customers in the United States. The company was founded in 2002 and is based in Dallas, Texas.
TDOC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Teladoc Health Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Teladoc Health Inc ranked in the 100th percentile in terms of potential gain offered. As the table below shows, the model suggests the stock is dramatically undervalued -- investors should note, though, that such returns are always unlikely and not to be expected. In terms of the factors that were most noteworthy in this DCF analysis for TDOC, they are:
In the past 0.58 years, Teladoc Health Inc has a compound free cash flow growth rate of 7.55%; that's better than 97.63% of cash flow producing equities in the Technology sector, where it is classified.
The business' balance sheet suggests that 4% of the company's capital is sourced from debt; this is greater than only 11.75% of the free cash flow producing stocks we're observing.
Teladoc Health Inc's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -2.77. This coverage rate is greater than that of only 10.32% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Technology that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as TDOC, try PRSP, QCCO, ASX, SGMA, and SCWX.