Shares of Livongo Health (LVGO) were jumping 5.3% as of 11:17 a.m. EDT on Thursday. The digital health-management company didn't report any news. The nice gain appears to be a result of continued momentum from Livongo announcing better-than-expected preliminary second-quarter results on Tuesday.
It also likely helped that Accenture (ACN 1.11%) released survey results today that pointed to increased adoption of virtual care even after the COVID-19 pandemic ends.
There's a lot going right for Livongo Health these days. And its stock performance reflects this reality. Investors appear to be jumping on board for good reasons.
CEO Zane Burke, in the company's press release announcing its preliminary Q2 numbers, said, "The COVID-19 pandemic has only magnified the need for Livongo's solutions, which goes well beyond remote monitoring and video visits to generate consumer-directed virtual care."
He added, "The largest, most innovative employers and health plans are continuing to select Livongo due to our whole person approach to care which is accelerating our growth."
Accenture's survey results back up Burke's comments. The consulting firm found that 60% of respondents want to increase their use of technology in communicating with healthcare providers and managing health conditions. Nine out of 10 respondents said that quality of care using virtual-care solutions during the COVID-19 pandemic was "as good or better than before."
Livongo Health plans to report its Q2 results on Aug. 6. The company's sneak peek earlier this week already revealed its revenue, but investors look forward to hearing Livongo's outlook for the rest of the year. In the meantime, this hot healthcare stock seems likely to keep its momentum going.