What happened Shares of Teladoc Health (NYSE: TDOC) were jumping 9.2% higher as of 11:04 a.m. EST on Monday. The telehealth services leader didn't make any announcements. There weren't any obvious catalysts behind the nice gain. So why is Teladoc taking off? Perhaps the best guess is that we're simply seeing institutional investors pour money into Teladoc. When that happens, it creates upward buying pressure for a stock. Image source: Getty Images. So what Institutional investor buying is nearly always a good sign for a stock. The big money typically only flows into stocks that have strong growth prospects. And Teladoc certainly appears to be a healthcare stock with strong growth prospects. Teladoc had a great story to tell at the annual J.P. Morgan Healthcare Conference a couple of weeks ago. The company continues to deliver robust revenue growth with a compound annual growth rate (CAGR) over the last five years of more than 70%. Institutional investors undoubtedly especially like that over 80% of Teladoc's revenue is recurring. Even better, the telehealth leader has only begun to scratch the surface of its opportunity. In the U.S., there are 65 million members at current Teladoc clients who aren't members yet. That's nearly as many as the company's 73 million current members. And there are another 182 million Americans who don't work at current Teladoc clients. Remember, too, that Teladoc isn't just focused solely on telehealth now. Thanks to its acquisition of Livongo last year, the company is a leader in digital health management. Livongo has around 500,000 enrollees. Teladoc estimates that there are roughly 18 million potential Livongo users at its current telehealth clients. Now what The challenge for Teladoc going forward will be to capitalize on its opportunity without skipping a beat. Its shares currently trade at 23 times sales. Stocks with such premium valuations tend to be volatile. However, Teladoc's valuation isn't as scary when you consider the potential market for telehealth and digital health management. The long-term prospects for the company continue to look very good. 10 stocks we like better than Teladoc HealthWhen investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Teladoc Health wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 20, 2020 Keith Speights owns shares of Teladoc Health. The Motley Fool owns shares of and recommends Teladoc Health. The Motley Fool has a disclosure policy.Source