Citron Research Just Called This "Pandemic Relic" Stock a Hidden Artificial Intelligence (AI) Opportunity. Time to Buy?

Core Viewpoint - Citron Research identifies Teladoc Health as a hidden opportunity in the AI sector within telemedicine, despite its current perception as a "pandemic relic" [2][5]. Company Performance - Teladoc's stock peaked at nearly $300 during the COVID-19 pandemic but has since dropped significantly, trading at 95% below its all-time highs as of February 10 [3][9]. - The company experienced a surge in demand for telemedicine services during the pandemic, which has since slowed down post-economic reopening [4][5]. Financial Metrics - While revenue growth has plateaued, Teladoc's free cash flow has been increasing, indicating improved operational efficiencies and higher profit margins [6][5]. - Citron suggests that Teladoc's current valuation appears attractive on a price-to-free-cash-flow basis, despite the stock being perceived as oversold [9]. Technology and AI Integration - Citron claims that Teladoc is effectively utilizing technology, although the company did not mention "artificial intelligence" during its recent earnings call, indicating that AI may not be a priority [8][10]. - The potential for Teladoc to be an acquisition target for larger companies like Amazon or CVS Health is highlighted, although this remains speculative [8][10]. Investment Outlook - Despite the positive aspects noted by Citron, there is skepticism regarding the narratives of Teladoc being a hidden AI gem or a likely acquisition candidate, suggesting that the stock may not be a solid buy at this time [11].