Shares of Teladoc Health Inc. (TDOC) plunged 5.09% in Thursday's intraday trading session, following BMO Capital's initiation of coverage on the telehealth company. The significant drop comes as investors react to the new analyst rating and price target, which appear to have dampened market sentiment.

BMO Capital initiated coverage on Teladoc Health with a Market Perform rating and set a price target of $8. This price target is notably below the stock's previous closing price, suggesting limited upside potential in BMO's view. The lukewarm initiation seems to have prompted some investors to reassess their positions in the stock.

Adding context to the market's reaction, other analysts have a consensus Hold rating on Teladoc Health, with a mean price target of $9.16, according to FactSet data. While slightly higher than BMO's target, this average still indicates cautious sentiment among Wall Street analysts. As Teladoc Health continues to navigate the evolving telehealth landscape, investors will likely keep a close eye on future analyst updates and the company's financial performance to gauge its growth prospects.