Faruqi & Faruqi, LLP investigates claims

NEW YORK, May 20, 2024 (GLOBE NEWSWIRE) — 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 this Deadline: July 16, 2024 to seek the role of lead plaintiff in a federal securities class action lawsuit filed against the Company.

Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson encourages investors who have suffered losses of more than $100,000 in Teladoc to contact him directly to discuss their options

If you suffered losses of more than $100,000 by 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 Partners Josh Wilson directly at 877-247-4292 or 212-983-9330 (ext. 1310). For more information you can also click here: www.faruqilaw.com/TDOC.

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

The lawsuit 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 expand its marketing spending throughout 2023 despite public assurances that it would scale back its advertising spending; (2) increased marketing expenses for BetterHelp resulted in deterioration in Teladoc’s revenue without a return on that investment; (3) Although Teladoc acknowledged that increased advertising spending would be slightly inefficient due to market saturation, the company continued to increase its advertising spending in the BetterHelp business; and (4) despite public statements that there was still “a long way to go” for BetterHelp’s membership growth, BetterHelp’s membership remained stagnant 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 ended December 31, 2023. The announcement revealed that Teladoc experienced significantly lower growth than previously forecast. The company also said it expects a decline in revenue 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 earnings report, Teladoc shares fell $4.85/share, or 23.6%, overnight.

The court-appointed lead plaintiff is the investor with the greatest financial interest in the relief sought by the class, who is appropriate and typical of the class, and who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may request the Court to serve as lead plaintiff through counsel of their choice, or may elect to do nothing and remain an absent class member. Your ability to participate in any recovery will not be affected by the decision to serve as lead plaintiff or not.

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

To find out more about the Teladoc Class action lawsuit, go for it www.faruqilaw.com/TDOC or Call Faruqi & Faruqi Partners Josh Wilson directly at 877-247-4292 or 212-983-9330 (ext. 1310).

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