The stock market has seen some swings on Tuesday, but they haven't amounted to much of a move. As of 12:30 p.m. ET, most major market benchmarks remained within 0.1% of where they started the day.
Even on a quiet day, though, there were still a few big movers in the stock market. In particular, mid-cap stocks Teladoc Health (TDOC -4.64%) and Sibanye Stillwater (SBSW -2.21%) made double-digit-percentage moves higher, rewarding their loyal shareholders. Below, you'll learn more about why these two stocks gained ground and what's ahead for their respective businesses.
Teladoc looks to expand the scope of its business
Shares of Teladoc Health climbed 13% at midday on Tuesday. The pioneer in telemedicine services announced a new program that could enhance the popularity of its platform.
Teladoc said that it is planning to expand its provider-based care service offering to include weight management and pre-diabetes programs. The program had already been available for those currently suffering from diabetes and hypertension, but the move opens up a much larger potential audience. According to its estimates, 42% of adults in the U.S. live with obesity, and 1 in 3 Americans are pre-diabetic.
The idea behind the solutions is simple. Teladoc wants to help members lose weight and prevent the onset of diabetes by making optimal use of available medications. In addition, Teladoc's broader range of tools addressing cardiometabolic health should help patients achieve better outcomes in areas like nutrition, activity tracking, sleep management, and handling stress.
Teladoc anticipates beginning to offer weight management and pre-diabetes services in the third quarter. Even after today's jump, Teladoc stock trades at just over a tenth of its highs from 2020, and investors are hopeful that the telehealth specialist will build more upward momentum as 2023 progresses.
Sibanye Stillwater benefits from precious metals gains
Also gaining ground were shares of Sibanye Stillwater. The mining stock rose 10% after getting some favorable news from the precious metals markets.
Sibanye Stillwater has considerable exposure to the platinum group metals complex, as its Stillwater business has an interest in the most extensive mining operation for platinum and palladium in the U.S. market. Prices of those metals were sharply higher on Tuesday, with platinum climbing $39 per ounce to $1,087 and palladium posting an even bigger $72-per-ounce rise to $1,566.
Unfortunately, those gains are coming only after the precious metals have lost a lot of their luster. Palladium prices in particular rose above $3,000 per ounce briefly in early 2022, as concerns about Russia's invasion of Ukraine caused prices to spike. Palladium is found in only a few places around the world, and Russia is a major producer of the metal, which is used in catalytic converters. Since then, fears about a recession and its impact on demand for vehicles have weighed on palladium demand, along with questions about whether palladium will remain an essential component in transportation once the transition to electric vehicles is complete.
Mining is a tricky business, but better prices in metals markets mean more profit for Sibanye and its peers. If conditions in the industrial economy improve, then it could drive more demand for platinum group metals and send Sibanye's stock still higher in the coming year.
