Talkspace names a new CEO as its stock price continues to struggle

Following a year of executive shakeups and business rejiggering, Talkspace’s third-quarter earnings came with some good news: The company finally appointed a new CEO and key numbers continue to point in the right direction.

But the virtual mental health company is still losing money, and the company’s stock has been trading below $1 since early October. Many investors may begin to ask themselves: “How long are we supposed to wait for this to work?”

On the earnings call Tuesday morning, Talkspace executives gave something resembling an answer. Outgoing interim CEO and executive chairman Doug Braunstein said that now that Talkspace has implemented a number of product developments and business changes, the company’s next priority is “cash flow break even.” And CFO Jennifer Fulk reported that the company still had $153 million in cash as of Sept. 30, which she said the company expects to be enough to get to profitability.

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