Two ARK exchange-traded funds run by ETF star Cathie Wood bought nearly 200,000 shares of Teladoc Health,Inc. (NYSE: TDOC) shares on Monday, as the prices of those ETFs each gained about 5% in Monday’s rally. Each is up well over 100% in the last year.
ARK Innovation ETF (NYSEARCA: ARKK) bought 111,041 shares of Teladoc Health, and ARK Next Generation Internet ETF (NYSEARCA: ARKW) bought an additional 88,691 shares. Each is a small fraction of the total holdings. ARKK is up 163% in the last year. ARKW is up 170% over the same period.
Teladoc Health is one company that has been winning because of the coronavirus pandemic, even if it has pulled back a fair amount recently. Shares reached nearly as high as $300 in February, practically triple the price of one year ago.
While this may overly simplify its business model, what makes Teladoc stand out from regular health clinics is that people effectively video conference with a physician who can then advise them what to do or where to go.
Considering how most things have been trending towards video conferencing in a post-corona-world, Teladoc may have a leg up on the rest of the industry. Still, it’s meant to be a lot simpler getting a video conference on a computer or a mobile device than it is to call a physician and get an office visit appointment.