The Premier Stocks For Your Portfolio: Plantronics Inc. (PLT), Teladoc Health Inc. (TDOC)

Plantronics Inc. (NYSE: PLT) shares are -53.40% down in the year-to-date (YTD) period and have moved -13.27% or -$1.95 lower in the latest trading session. However, stock’s trailing 12-month performance remains nearly +176.96% lower. Comparatively, the stock is -63.45% down YTD and -0.08% over the trailing 3-month period. If we look at the shorter duration, its week performance is -21.70% and -38.28% over the month.

Analyst Recommendations

On March 30, 2020, JP Morgan recommended the PLT stock is a Underweight, while earlier, Morgan Stanley had Downgrade the stock as a Underweight on April 16, 2020. 7 analysts offering the recommendations for the stock have a consensus rating of 3.20 to suggest that the PLT stock is a “Hold. 3 of the 7 analysts rate the stock as a “Sell”, while 0 has rated it as “Underweight”. 1 recommend buying, with 0 rating it as an Overweight.

The stock currently trades at $12.74 and analysts tracking its performance over the next 12 months have a consensus estimate price target of $18.50. The forecasts give the Plantronics Inc. stock a price target range of $24.00 on the higher side while at least one analyst think the stock could plunge to a low of $10.00. The two limits represent an upside potential of 46.92% or -27.4%.

Earnings Forecast

Analysts estimate the earnings to increase 1,550.00% in the current quarter to $0.44, down from the $1.24 reported in the same quarter a year ago. For the current year, earnings should grow to an average of $1.86, down -12.70% from $3.13 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between $0.32 and $0.55. Wall Street estimates earnings per share to be at an average of $2.69 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 226 over the last 12 months, while SEC filings reveal that there have been 26 insider sales over the same period. Insiders have purchases 840,133 shares while those sold by company executives and officers stand at 99,036. The last 3 months have seen insiders trade a total of 103,907 and 0 in purchases and sales respectively.

Triangle Private Holdings II, , a Director at the company, bought 450,000 shares worth $6.16 million at $13.68 per share on Feb 25. The Director had earlier bought another 7,000 PLT shares valued at $98271.0 on Feb 25. The shares were bought at $14.04 per share. HAGERTY ROBERT C (CHAIRMAN, INTERIM CEO) bought 10,000 shares at $14.17 per share on Feb 24 for a total of $0.14 million while DEXHEIMER BRIAN S, (Director) bought 2,100 shares on Feb 24 for $30567.0 with each share fetching $14.56.

Teladoc Health Inc. (NYSE:TDOC), on the other hand, is trading around $208.57 with a market cap of $17.62B and analyst research firms have a negative stance on its shares. Analysts predict that the stock will reach $229.08 and spell out a more modest performance – a 8.95% return. Some analysts are even forecasting -$1.4 per share in earnings this year on a short term (1 year) basis.

Let us briefly look at the Teladoc Health Inc. (TDOC) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

TDOC’s operating margin was negative on the trailing 12 months basis, remaining steady at -10.00%, while the operating expenses over the recent quarter were at $158.21 million. This represented a 34.36% of the company’s total revenues which amounted $241.03 million. With this in place, we can see that the company’s diluted EPS declined -$0.34 on the year-over-year period, shrinking to -$0.41 as given in the last earnings report.

In terms of the balance sheet & cash flow as of (Sep 2020), the total assets figure advanced to $2.42 billion from $1.6 billion over the previous quarter. Short term investments amounted to $2.93 million while total current assets were at $1.4 billion. The cash flow from operating activities totaled $29.23 million, significantly higher than the -$1.74 million reported in the year-ago quarter. The company’s free cash flow for the quarter was $21.14 million.

Insider activity

Insiders have transacted a total of 203 times at Teladoc Health Inc. over the last 6 months, with insider purchases undertaken 109 times and accounting for 663,265 shares. Insider sales totaled 619,842 shares over the same period, with these deals completed in 94 transactions. Looking at these numbers, we realize that net purchases over that period are 15.0 shares. Insiders now hold a total of 916.26k shares after the latest sales, with 12.90% net shares purchased.

Major holders

Insiders own 1.00% of the company shares, while shares held by institutions stand at 93.20% with a share float percentage of 80.33M. Investors are also buoyed by the number of investors in a company, with Teladoc Health Inc. having a total of 674 institutions that hold shares in the company. The top two institutional holders are Vanguard Group, Inc. (The) with over 6.92 million shares worth more than $1.32 billion. As of Jun 29, 2020, Vanguard Group, Inc. (The) held 8.52% of shares outstanding.

The other major institutional holder is Blackrock Inc., with the investment firm holding over 6.77 million shares as of Jun 29, 2020. The firm’s total holdings are worth over $1.29 billion and represent 8.33% of shares outstanding.