Hims & Hers Health (NYSE:HIMS) Trading Up 10.8% – Should You Buy?

Shares of Hims & Hers Health, Inc. (NYSE:HIMS) rose 10.8% during trading on Wednesday . The company traded as high as $29.91 and last traded at $30.3360. Approximately 11,227,575 shares traded hands during mid-day trading, a decline of 57% from the average daily volume of 26,227,777 shares. The stock had previously closed at $27.39.

Hims & Hers Health News Summary

Here are the key news stories impacting Hims & Hers Health this week:

• Positive Sentiment: CEO Andrew Dudum rejected the Federal Trade Commission’s privacy and advertising allegations, arguing that the agency misunderstands Hims & Hers’ data-sharing and subscription practices. His comments may have helped ease concerns about the potential business impact of the lawsuit. Hims & Hers Rejects Privacy Allegations While Promising Expanded Patient Access
• Positive Sentiment: Management continues to promote expanded patient access, lower-cost treatment options and a possible AI health coach that could improve medication adherence. These initiatives provide potential long-term growth catalysts, although they are not yet material earnings drivers. Hims & Hers CEO discusses AI health coach
• Positive Sentiment: The company’s Eucalyptus transaction is viewed as a potential avenue for entering new markets and broadening Hims & Hers’ international reach, supporting the growth story. Hims & Hers: Eucalyptus Deal Unlocks New Markets
• Neutral Sentiment: Multiple insider share dispositions were reported, including sales by the CEO, CFO and other executives. Most were non-discretionary transactions or Rule 10b5-1 sales used to cover taxes on vested equity, limiting their value as a signal of weakening management confidence. Hims & Hers insider transactions
• Negative Sentiment: The FTC lawsuit alleges improper handling of private health data, deceptive billing and difficult subscription cancellations. Several law firms have launched related shareholder or fiduciary-duty investigations, increasing potential legal costs, compliance requirements and reputational risk. Berger Montague investigation
• Negative Sentiment: Hims & Hers recently delivered strong revenue growth, but its quarterly loss substantially exceeded analyst expectations. The resulting profitability concerns and ongoing scrutiny of the GLP-1 transition could limit the stock’s upside until execution improves. Analyst questions from the Hims & Hers earnings call

Wall Street Analysts Forecast Growth

Several equities analysts have commented on the stock. Truist Financial raised their target price on shares of Hims & Hers Health from $23.00 to $27.00 and gave the company a “hold” rating in a report on Friday, July 24th. UBS Group set a $23.00 price target on shares of Hims & Hers Health in a report on Friday, May 22nd. Wall Street Zen upgraded shares of Hims & Hers Health from a “sell” rating to a “hold” rating in a research report on Saturday. Bank of America lifted their price objective on shares of Hims & Hers Health from $30.00 to $32.00 and gave the company a “neutral” rating in a research note on Tuesday, August 11th. Finally, Citigroup cut their target price on Hims & Hers Health from $35.00 to $33.00 and set a “neutral” rating for the company in a research note on Tuesday, August 11th. Four equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $32.43.

Hims & Hers Health Stock Performance

The company has a debt-to-equity ratio of 4.21, a current ratio of 0.93 and a quick ratio of 0.87. The stock has a market cap of $7.06 billion, a P/E ratio of -48.17 and a beta of 2.40. The stock has a 50-day simple moving average of $32.10 and a 200-day simple moving average of $26.05.

Hims & Hers Health (NYSE:HIMS) last posted its earnings results on Monday, August 10th. The company reported ($0.37) EPS for the quarter, missing analysts’ consensus estimates of ($0.05) by ($0.32). Hims & Hers Health had a negative return on equity of 6.51% and a negative net margin of 5.51%.The company had revenue of $753.21 million during the quarter, compared to the consensus estimate of $698.90 million. During the same period last year, the company posted $0.17 EPS. The firm’s revenue was up 38.2% compared to the same quarter last year. Research analysts forecast that Hims & Hers Health, Inc. will post -0.05 earnings per share for the current year.

Insider Activity

In other news, COO Michael Chi sold 14,027 shares of the company’s stock in a transaction on Wednesday, June 17th. The shares were sold at an average price of $31.50, for a total transaction of $441,850.50. Following the completion of the transaction, the chief operating officer directly owned 432,124 shares in the company, valued at approximately $13,611,906. This represents a 3.14% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director David B. Wells bought 48,400 shares of the stock in a transaction on Tuesday, May 26th. The stock was purchased at an average cost of $24.23 per share, with a total value of $1,172,732.00. Following the acquisition, the director owned 224,417 shares in the company, valued at approximately $5,437,623.91. This represents a 27.50% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. In the last quarter, insiders have sold 139,947 shares of company stock valued at $4,728,621. 11.76% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Hims & Hers Health

Institutional investors and hedge funds have recently made changes to their positions in the stock. Versant Capital Management Inc raised its stake in Hims & Hers Health by 801.2% during the second quarter. Versant Capital Management Inc now owns 748 shares of the company’s stock worth $26,000 after buying an additional 665 shares during the last quarter. MassMutual Private Wealth & Trust FSB boosted its holdings in Hims & Hers Health by 70.0% in the second quarter. MassMutual Private Wealth & Trust FSB now owns 775 shares of the company’s stock worth $27,000 after acquiring an additional 319 shares in the last quarter. Binnacle Investments Inc acquired a new stake in Hims & Hers Health in the 3rd quarter valued at $28,000. Bogart Wealth LLC grew its holdings in shares of Hims & Hers Health by 235.8% during the fourth quarter. Bogart Wealth LLC now owns 900 shares of the company’s stock valued at $29,000 after buying an additional 632 shares during the last quarter. Finally, Geneos Wealth Management Inc. acquired a new position in Hims & Hers Health during the 1st quarter valued at about $30,000. Institutional investors and hedge funds own 63.52% of the company’s stock.

About Hims & Hers Health

Hims & Hers Health, Inc is a telehealth platform providing direct-to-consumer personal care products and virtual medical services in the United States. Operating under the Hims & Hers brand, the company offers an integrated digital experience that connects users with licensed healthcare providers, enabling online consultations and prescriptions for a range of conditions. Its telemedicine infrastructure supports both prescription medications and over-the-counter products, with home delivery to patients’ doorsteps.

The company’s product portfolio addresses key areas of men’s and women’s health, including hair loss treatments, sexual wellness therapies, skincare regimens and mental health support.