The Gross Law Firm notifies investors that a class action has commenced in on behalf of shareholders of Teladoc Health, Inc. who purchased stock between November 2, 2022 and February 20, 2024.
The filed complaint alleges that defendants made materially false and/or misleading statements and/or failed to disclose that: (1) Teladoc continued to expand its marketing spend throughout 2023, despite public assurances that it would pull back its advertising spending; (2) increased marketing spend on BetterHelp, a Company division and online counseling service, deteriorated Teladoc's revenue, with little return for that investment; (3) despite Teladoc's acknowledgment that increased advertising spend would be marginally inefficient due to market saturation, it continued to grow its advertising spend in the BetterHelp business; and (4) despite public statements that there remained "a long runway" for BetterHelp membership growth, BetterHelp's membership stagnated and then decreased in 2023, due to market saturation, largely due to BetterHelp's own marketing. When the true details entered the market, the lawsuit claims that investors suffered damages.
If you wish to choose counsel to represent you and the class, you must apply to be appointed lead plaintiff and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement for the class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the respective securities during the class periods. Members of the class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. No class has yet been certified in the above action. Appointment as Lead Plaintiff is not required to partake in any recovery.
Shareholders have until July 16, 2024 to request that the court appoint them lead plaintiff.
To receive more information, please fill out the form.
