Here's Why Teladoc's Integrated Care Business Deserves More Attention

Teladoc Health, Inc.’s TDOC Integrated Care is increasingly becoming the more dependable part of the business. Its growth is modest, but the segment is becoming more profitable as chronic care gains traction. That matters because Teladoc’s investment case is no longer solely about fixing BetterHelp. Increasingly, it hinges on whether Integrated Care can contribute a larger share of the company’s earnings as Teladoc builds a broader healthcare platform.

Integrated Care is now driving most of Teladoc’s earnings. The segment generated $394.3 million in revenue and $65.2 million in adjusted EBITDA in the second quarter, compared with just $0.5 million of adjusted EBITDA from BetterHelp. With consolidated adjusted EBITDA at $65.7 million, Integrated Care is clearly the primary driver of profitability.

The two businesses face very different economics. BetterHelp is dealing with the shift from cash-pay to insurance, while provider availability remains a constraint. Integrated Care runs on enterprise contracts and has more room to grow revenues through chronic care bundles and services like Teladoc One. That gives the segment a clearer path to expand without relying on a major increase in membership.

Teladoc One, set for broad launch in January 2027, will integrate primary care, chronic care and other services around the same patient. If adoption builds, Integrated Care could become Teladoc’s main earnings driver, giving the company a steadier path to profit growth even if overall membership growth remains modest.

How Are Competitors Faring?

Some of Teladoc’s key peers across digital health are Hims & Hers Health, Inc. HIMS and Omada Health, Inc. OMDA.

Hims & Hers Health operates a consumer-focused digital healthcare platform spanning areas such as weight management, sexual health, dermatology and mental health. Its direct-to-consumer model has helped HIMS scale quickly, making customer growth, engagement and marketing efficiency important drivers of its performance.

Omada Health focuses on virtual care for chronic conditions, including diabetes, hypertension, weight management and musculoskeletal conditions. It provides recurring access to a growing member base, while its multi-condition platform allows OMDA to expand relationships across different areas of care.

Teladoc Health’s Price Performance, Valuation & Estimates

Shares of TDOC have gained 18.5% over the past six months compared with the industry’s 8.1% growth.

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From a valuation standpoint, TDOC trades at a forward price-to-sales ratio of 0.47X, down from the industry average of 0.53X. TDOC carries a Value Score of B.

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The Zacks Consensus Estimate for TDOC’s 2026 loss is pegged at 89 cents per share,implying a 21.9% increase from the year-ago period’s level.

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The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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