Teladoc Soars 26% as Revenue and Profit Beat Estimates; Hims & Hers Health and American Well Tick Up

Shrinking revenue hasn’t kept Teladoc Health (NYSE:TDOC) from beating estimates on both sales and earnings. Early signs that its BetterHelp mental health business can shift toward insurance-covered care are giving investors a reason to bid the stock up significantly. Teladoc stock is at $8.76, up 26% around midday.

Taking a look at Teladoc Health’s peers, Hims & Hers Health (NYSE:HIMS) stock is at $29.89, up 2%. American Well (NYSE:AMWL) stock is at $14.21, up 0.64%.

Teladoc Beats on Revenue and Profit as BetterHelp Shifts to Insurance

After the close on October 28, Teladoc Health reported Q3 2026 results showing revenue fell 3% to $605.1 million, exceeding the $588.4 million analyst consensus. On the bottom line, Teladoc Health posted a net loss of $0.15 per share, smaller than the Wall Street analysts’ consensus loss of $0.21.

Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) at Teladoc Health rose 14% to $79.4 million, ahead of the Wall Street analysts’ consensus of $68.08 million. Within the business, Teladoc’s Integrated Care segment revenue rose 2% to $398.5 million with an adjusted EBITDA margin of 18.8%, up from 17%, while BetterHelp revenue fell 13% to $206.6 million as fewer users paid out of pocket. BetterHelp’s insurance-covered services revenue reached $32.1 million, up from $3.7 million a year earlier.

Teladoc CEO Chuck Divita said, “We delivered third quarter results near the upper end of our guidance range for consolidated revenue and above our range for consolidated adjusted EBITDA, reflecting solid execution across our two segments.” Divita added, “In the BetterHelp segment, insurance revenue exceeded our expectations, and we are making encouraging progress expanding provider capacity and scaling access to covered services.”

For the full year, Teladoc Health expects adjusted EBITDA of $277 million to $303 million. Still, Teladoc Health’s Q4 2026 revenue outlook midpoint of $592 million trailed the Wall Street analysts’ consensus of $596.6 million.

Why Teladoc Is Pulling Away From American Well and Hims & Hers

Teladoc stock is now up 25% year to date (YTD) following the jump. The closest platform comparable is American Well, which sells virtual care to health plans and health systems. Shares of American Well are up 189% YTD. Despite that run, American Well is only inching higher as Teladoc rises.

American Well operates as a business-to-business software vendor, selling Amwell Converge, SilverCloud and Carepoint subscriptions to payers, providers and the Defense Health Agency. That setup leaves American Well without a direct-to-consumer therapy arm, so it carries no cash-pay decline of the kind weighing on BetterHelp.

Hims & Hers runs a consumer cash-pay telehealth platform built on its own branded products, and the stock is down 8% this year. The company is moving its U.S. weight-loss offering toward branded glucagon-like peptide-1 (GLP-1) medications. Such a cash-pay model runs opposite to Teladoc’s effort to put BetterHelp therapy under insurance coverage.

Physician tools maker Doximity (NYSE:DOCS | DOCS Price Prediction) is at $34.11, down 0.41%. Year to date, Doximity is down 23%, trailing Teladoc Health. Across the sector, the Health Care Select Sector SPDR Fund (NYSEARCA:XLV) is at $183.48, up 2%, a far smaller gain than Teladoc Health’s.

Can Teladoc Turn Insurance Gains Into Revenue Growth?

Teladoc still faces a key question: whether insurance-covered BetterHelp revenue grows fast enough to offset the cash-pay decline. Teladoc’s management is aiming for an annualized BetterHelp insurance revenue run rate of at least $200 million exiting 2027, while Divita noted the company expects “ongoing challenges in cash pay going forward.”

Teladoc’s wider Integrated Care margin and a fourth consecutive quarterly earnings beat give bulls reason for hope. The bears can cite a shrinking BetterHelp paying-user base and $997.6 million of convertible senior notes now classified as current. A return to companywide revenue growth would require the insurance ramp to outpace that cash-pay erosion. Investors may want to track how the BetterHelp insurance transition develops over the coming quarters.

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