11:04 AM EDT, 10/09/2024 (MT Newswires) -- Teladoc Health ( TDOC ) will likely focus on its BetterHelp business' revenue and trends when it reports its Q3 financial results, RBC Capital Markets said in a note Wednesday.

RBC said it also expects high-level updates from the new chief executive officer, but any "meaningful" findings from a strategic review are not anticipated until early next year.

Analysts noted that the sequential decline in reported BetterHelp paying users for the last four consecutive quarters, together with macroeconomic uncertainty, led management to withdraw its BetterHelp-related outlook this past quarter.

For Q3, the firm said its analysis showed that BetterHelp app usage, which it considers a good proxy for BetterHelp membership and revenue, continued to drop, but at a slower rate.

"[The analysis] also shows a steep rebound in September activity, providing some hope this trend could be reversing/improving into yearend," RBC said.

RBC boosted the company's price target to $10 from $9 and maintained its outperform rating.

Teladoc Health ( TDOC ) shares were up almost 3% in recent Wednesday trading.

Price: 8.97, Change: +0.25, Percent Change: +2.93