Two Stocks Down 90%+ That Still Aren't Worth Buying: Teladoc and Tilray

Teladoc Health and Tilray Brands have lost over 90% of their market value over the past five years. Teladoc is experiencing slow growth and consistent net losses, while Tilray faces roadblocks in the highly regulated cannabis industry. Despite their efforts to turnaround, these stocks are not worth buying.

Teladoc Health (NYSE: TDOC) and Tilray Brands (NASDAQ: TLRY) have both experienced significant declines in market value over the past five years, with losses exceeding 90% for each company. Despite their attempts to turn around their fortunes, these stocks remain unattractive investments.

Teladoc Health, a telemedicine specialist, saw a surge in popularity during the pandemic in 2020 due to increased demand for remote healthcare services. However, as government-imposed lockdown measures expired, demand for its services declined, and the company faced consistent net losses. BetterHelp, one of Teladoc's main growth drivers, also encountered stiff competition, further impacting its market share. Teladoc's revenue growth has been slow, and the company remains unprofitable [1].

Tilray Brands, a leader in the cannabis industry, offers a suite of products across both recreational and medical channels in several countries. While Tilray has a leading market share in Canada, it has struggled to grow its top and bottom lines consistently due to regulatory challenges in the U.S. and oversupply in the Canadian market. Tilray's diversification efforts, including its craft brewing business and hemp-based foods segment, have not significantly improved its financial performance. The company continues to rely on potential regulatory progress in the cannabis market, but there is no guarantee that this will materialize anytime soon [1].

The digital therapeutics market, which includes companies like Teladoc, is experiencing rapid growth, driven by rising demand for personalized, evidence-based digital health interventions. However, Teladoc's slow growth and consistent net losses make it an unattractive investment. Tilray's reliance on regulatory progress in the cannabis market also makes its stock a risky bet [2].

Investors should be cautious when considering these stocks. Teladoc Health and Tilray Brands have both faced significant challenges and have not shown meaningful progress in turning around their fortunes. It is best to avoid these stocks until they demonstrate clear signs of improvement.

References:
[1] https://finance.yahoo.com/news/2-stocks-down-more-90-134500516.html
[2] https://www.prnewswire.com/news-releases/global-digital-therapeutics-market-experiencing-rapid-growth-at-a-cagr-of-28-by-2032-amid-rising-demand-for-personalized-healthcare-delveinsight-302528732.html