Credit Suisse sees Teladoc expanding collab in AI as positive, not game changer

Credit Suisse notes that Teladoc (TDOC) announced that it is furthering its collaboration with Microsoft (MSFT). The firm sees the expansion as a natural evolution of the relationship with Microsoft with greater integration of emerging technologies to ease the administrative workload while taking advantage of Microsoft’s technological advancements. Further, the announcement builds on the overall goal of reducing physician/provider burnout in the healthcare system, which has been a major issue for some time but was exacerbated during the COVID pandemic. Credit Suisse does see value in automated documentation and reduction in administrative burden. All-in, the firm sees this as “a nice incremental positive, but not necessarily a game changer” at this point for the company. Credit Suisse has a Neutral rating on Teladoc’s shares with a price target of $27.