The coronavirus outbreak is creating a severe strain on the health care sector in North America. Teledoc (NYSE:TDOC) is in a strong position to alleviate the call volumes and crowded waiting rooms that the health services industry faces. The firm has zero increasing costs as it provides services to insurance members.
Teledoc stock trades at over 20 times sales, a justifiable valuation, given its moat. For example, Blue Shield offers Teladoc Health’s virtual care service at $0 cost to most of its members. The company serves more than 175 countries and 40 languages. It had more than 2 million mobile app downloads in 2018. And it completed over 4.1 million virtual care visits in 2018.
In the drug development space, Moderna (NASDAQ:MRNA) is in an uptrend because of its promising vaccine development against COVID-19. The Phase 1 clinical trial involves a two-dose mRNA vaccine on 45 adult subjects.
If Moderna reports good safety and minimal, less serious adverse events, the company is in a good position to supply vaccinations in the future. Investors may opt for Inovio (NASDAQ:INO), which has a faster timeframe, but Moderna’s mRNA platform has its advantages.
Besides, if Moderna succeeds in coronavirus vaccine development, a bigger drug firm may buy this firm out for its technology.
