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A month has gone by since the last earnings report for Hims & Hers Health, Inc. (HIMS - Free Report) . Shares have lost about 7.7% in that time frame, underperforming the S&P 500.

But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Hims & Hers Health due for a breakout? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent catalysts for Hims & Hers Health, Inc. before we dive into how investors and analysts have reacted as of late.

Hims & Hers’ Q2 Earnings Miss, Gross Margin DownHims & Hers Health reported quarterly adjusted loss per share of 10 cents in second-quarter 2026, against the year-ago period’s adjusted earnings per share of 17 cents. The metric was wider than the Zacks Consensus Estimate of loss per share of 7 cents.

GAAP loss per share for the quarter was 37 cents against the year-ago period’s EPS of 17 cents.

HIMS’ Revenues in DetailHims & Hers registered revenues of $753.2 million in the second quarter, up 38.2% year over year. The figure surpassed the Zacks Consensus Estimate by 9.1%.

Solid revenues from both geographic segments drove the top line.

Hims & Hers’ Geographical ResultsIn the second quarter of 2026, revenues in the United States increased 15.7% year over year to $621.8 million.

Rest of the World revenues grossed $131.4 million, up from the year-ago quarter’s $7.5 million.

During the reported quarter, subscribers were 2.9 million, up 18.5% year over year.

Monthly online revenue per average subscriber increased 21.1% year over year to $92 in the second quarter. Per management, the uptick was primarily driven by changes in product mix, including uptake of HIMS’ weight loss offerings.

HIMS’ Margin AnalysisIn the second quarter of 2026, Hims & Hers’ gross profit increased 15.5% year over year to $480.8 million. However, the gross margin contracted 1256 basis points to 63.8%.

Marketing expenses increased 20.4% year over year to $262.2 million, while technology and development expenses jumped 45.1% year over year to $54.9 million. General and administrative expenses surged 145.8% year over year to $165.4 million, while operations and support expenses increased 43.6% year over year to $95.5 million. Operating expenses of $577.9 million increased 48.4% year over year.

Operating loss totaled $97.2 million against the year-ago quarter’s operating profit of $26.7 million.

Hims & Hers’ Financial PositionHims & Hers exited second-quarter 2026 with cash and cash equivalents and short-term investments of $841 million compared with $750.9 million at the end of first-quarter 2026.

Cumulative net cash provided by operating activities at the end of second-quarter 2026 was $53.4 million compared with $89.9 million a year ago.

HIMS’ OutlookHims & Hers has provided its revenue outlook for the third quarter and raised the same for 2026.

The company projects revenues for the third quarter of 2026 in the range of $880 million to $900 million, reflecting an uptick of 47%-50% year over year.

For the full year, HIMS now projects revenues in the range of $3.1 billion to $3.3 billion (representing growth of 32%-41% from 2025 levels), up from the prior outlook of $2.8 billion to $3 billion (representing growth of 19%-28% from 2025 levels).

How Have Estimates Been Moving Since Then?Since the earnings release, investors have witnessed a downward trend in estimates review.

The consensus estimate has shifted -27.35% due to these changes.

VGM ScoresAt this time, Hims & Hers Health has a average Growth Score of C, though it is lagging a lot on the Momentum Score front with an F. Charting a somewhat similar path, the stock was allocated a grade of D on the value side, putting it in the bottom 40% for value investors.

Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.

OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Hims & Hers Health has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry PlayerHims & Hers Health is part of the Zacks Medical Info Systems industry. Over the past month, 10x Genomics (TXG - Free Report) , a stock from the same industry, has gained 12.2%. The company reported its results for the quarter ended June 2026 more than a month ago.

10x Genomics reported revenues of $151.04 million in the last reported quarter, representing a year-over-year change of -12.6%. EPS of -$0.14 for the same period compares with $0.28 a year ago.

10x Genomics is expected to post a loss of $0.27 per share for the current quarter, representing a year-over-year change of -22.7%. Over the last 30 days, the Zacks Consensus Estimate has changed -2%.

10x Genomics has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of D.

Key Takeaways Hims & Hers is accelerating growth through weight loss, with U.S. revenues up 16% in the second quarter.International revenues surged more than 17-fold, with management targeting at least $600 million in 2026.AI is boosting engagement and cutting nonclinical support tasks by nearly 50%, aiding retention and costs. Hims & Hers Health (HIMS - Free Report) has entered the second half of 2026 with strong momentum from weight-loss offerings, international expansion and AI-enabled care. However, gross-margin pressure from changing business mix, regulatory uncertainty surrounding the FTC and peptide therapies, and the need to navigate evolving weight-loss opportunities could temper its growth outlook.

Shares of this Zacks Rank #3 (Hold) company have gained 3.4% in the past three months compared with the industry's 41.2% growth and the S&P 500 Index’s 1.1% increase.

Hims & Hers, with a market capitalization of $6.9 billion, is a consumer-centric health and wellness platform.

Image Source: Zacks Investment Research

HIMS’ bottom line is estimated to improve 19.5% over the next five years. Its earnings missed estimates in three of the trailing four quarters and beat once, delivering a negative average surprise of 94.05%.

What's Driving HIMS’ Performance?Weight-Loss Expansion Is Reaccelerating Domestic Growth: Hims & Hers' expanded weight-loss product line is becoming a major catalyst for domestic growth. The second-quarter revenues increased nearly 40% year over year to more than $753 million, while U.S. revenues accelerated 16% to $622 million. Management attributed much of the improvement to the March decision to broaden branded weight-loss offerings, which helped offset revenue-recognition headwinds from moving branded products to a monthly cadence.

The category is also strategically valuable because it expands cross-selling into areas such as low testosterone and cardiovascular health. With nearly 3 million subscribers and stronger retention among newer cohorts, weight loss could support sustained growth and greater lifetime value.

International Expansion Is Rapidly Increasing Addressable Market: Hims & Hers is gaining substantial scale globally, with international revenues surging more than 17-fold year over year to $131 million in the second quarter. The Eucalyptus acquisition contributed approximately $40 million, while the existing international business grew 13% sequentially on an organic basis.

The U.K., Australia and Germany have each surpassed $100 million in annualized revenues, with Canada nearing the threshold. Management expects international revenues to reach at least $600 million in 2026, while weight-loss adoption remains meaningfully below U.S. levels. This provides considerable runway for category expansion, although management is prioritizing scale before maximizing profitability.

AI-Enabled Care Could Improve Retention and Lower Service Costs: Hims & Hers is beginning to demonstrate tangible operating benefits from integrating AI into its care model. Among Hers’ weight-loss customers using the new AI-native experience, engagement increased sharply, with users sending three times as many messages, while AI handled approximately 80% of questions. AI reduced nonclinical support tasks by nearly 50%, creating an opportunity to lower the cost of serving subscribers.

Management also reported early evidence of stronger engagement and lower cancellation rates among participating cohorts. If these improvements scale across the broader platform, HIMS could simultaneously improve customer retention, personalize care and generate operating leverage, thereby strengthening its long-term unit economics.

Pharmaceutical Partnerships Strengthen the Weight-Loss Ecosystem: Hims & Hers' relationship with Novo Nordisk provides an important strategic advantage as branded weight-loss treatments become more accessible. Management highlighted strong collaboration around the launch of the Wegovy pill, noting that HIMS is among the largest platforms helping consumers access the therapy.

Internationally, Eucalyptus helped generate tens of thousands of prospective patients for Wegovy's launch in certain markets. The partnership also creates opportunities to exchange insights around adherence, side effects and dosing, potentially strengthening HIMS' ability to support patients throughout their treatment journey. Relationships with pharmaceutical innovators could position HIMS as an important digital distribution and patient-access channel as additional therapies reach the market.

What’s Weighing on HIMS Stock?Gross Margin Lowers as the Business Mix Changes: Hims & Hers' rapid expansion into branded weight loss and international markets is coming with a meaningful profitability trade-off. Adjusted gross margin fell approximately six percentage points sequentially to 64% in the second quarter, reflecting the increasing contribution of lower-margin branded weight-loss products and international revenues.

Management explicitly expects gross margins to remain below historical levels as these categories expand. Although operating leverage helped adjusted EBITDA margin improve to 8%, the structural mix shift means revenue growth may not translate proportionately into gross-profit growth. Investors therefore need to evaluate HIMS on the basis of future customer lifetime value and scale economics rather than relying on historical margin profiles.

Working-Capital Requirements Are Straining Cash Generation: The rapid expansion of branded weight-loss offerings is creating greater working-capital requirements, highlighting a financial risk associated with HIMS' new business model. Operating cash flow was negative $36 million in the second quarter, while free cash flow was negative $68 million, as short-dated receivables and inventory requirements increased.

Although management expects free cash flow to recover in the second half and has established a $400 million receivables facility, the recent transition underscores that accelerating revenue growth does not necessarily result in proportional cash generation. Continued scaling of branded therapies could require additional liquidity and working-capital investment, particularly if payment cycles lengthen or inventory requirements rise faster than expected.

Peptide Opportunity Remains Dependent on FDA Decisions: Hims & Hers has invested significantly in building infrastructure around peptide therapies, but commercialization remains contingent on FDA rulemaking. Management was encouraged by the fact that six of seven peptides advanced successfully through the FDA's PCAC process and believes the company can move quickly if they are placed on the appropriate Category 1 list.

However, the company is explicitly waiting for full and final FDA rulemaking before bringing these therapies to market. This creates uncertainty around timing, permissible offerings and potential revenue contribution. HIMS can continue expanding other wellness products in the interim, but the broader peptide opportunity remains regulatory-dependent and should not be treated as a near-term guaranteed growth driver.

Estimate TrendThe Zacks Consensus Estimate for 2026 revenues is pegged at $3.22 billion, implying growth of 37.2% from the year-ago reported figure. The consensus mark for loss per share is pinned at 60 cents, which implies a deterioration of 213.2% from the previous year’s recorded level.

In the past 30 days, HIMS’ loss per share estimate for 2026 has increased 185.7%.

Stocks to ConsiderSome better-ranked stocks from the broader medical space are Globus Medical (GMED - Free Report) , Veracyte (VCYT - Free Report) andWest Pharmaceutical (WST - Free Report) .

Globus Medical, currently flaunting a Zacks Rank #1 (Strong Buy), reported a second-quarter 2026 adjusted earnings per share (EPS) of $1.34, which surpassed the Zacks Consensus Estimate by 19.6%. Revenues of $789.6 million beat the Zacks Consensus Estimate by 0.4%. You can see the complete list of today’s Zacks #1 Rank stocks here.

GMED has an estimated long-term earnings growth rate of 12.4%. The company’s earnings beat estimates in each of the trailing four quarters, the average surprise being 27.9%.

Veracyte, currently carrying a Zacks Rank #2 (Buy), reported a second-quarter 2026 adjusted EPS of 54 cents, which surpassed the Zacks Consensus Estimate by 25.6%. Revenues of $150.3 million beat the Zacks Consensus Estimate by 4.1%.

VCYT has an estimated earnings growth rate of 8.4% for 2026. The company’s earnings beat estimates in each of the trailing four quarters, the average surprise being 41.8%.

West Pharmaceutical, carrying a Zacks Rank #2 at present, reported second-quarter 2026 adjusted EPS of $2.37, which beat the Zacks Consensus Estimate by 13.9%. Revenues of $872.3 million surpassed the Zacks Consensus Estimate by 4.2%.

WST has an estimated long-term earnings growth rate of 16%. WST’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 17.4%.

The U.S. Food and Drug Administration (FDA) on Tuesday warned patients and healthcare providers about severe health risks linked to unapproved and compounded glucagon-like peptide-1 (GLP-1) weight-loss medications.

Consumers frequently encounter illegally marketed semaglutide and tirzepatide products through online sellers, exposing themselves to unsafe chemical formulations, improper dosing, and product contamination.

Following the update, Hims & Hers Health Inc. (NYSE:HIMS) stock closed 3.85% lower on Tuesday.

Rising Adverse Events And Dosing HazardsAs of May 31, 2026, the agency received 990 adverse event reports regarding compounded Semaglutide and over 730 reports involving compounded tirzepatide.

Tirzepatide is the active ingredient in Eli Lilly and Co.’s (NYSE:LLY) Zepbound and Mounjaro, and Semaglutide is the primary active ingredient in Novo Nordisk A/S (NYSE:NVO) Ozempic and Wegovy.

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Patients reported hospitalizations, severe gastrointestinal symptoms like nausea and vomiting, and injection site reactions from fraudulent formulations.

Additionally, compounders illegally use unapproved salt forms, such as semaglutide sodium and semaglutide acetate.

Consumers also face contamination risks when using multi-dose vials beyond 28 days or receiving unrefrigerated shipments.

Federal Crackdown On Illegal DistributionFederal law strictly bans Eli Lilly’s retatrutide and Novo Nordisk’s cagrilintide in drug compounding.

Regulators issued warning letters to active pharmaceutical ingredient distributors, outsourcing facilities, and telehealth vendors marketing unauthorized drugs, including products falsely labeled “for research purposes” or “not for human consumption.”

To stop poor-quality foreign ingredients from entering the domestic supply chain, the agency implemented import alert 66-80 targeting non-compliant manufacturers while permitting compliant imports.

HIMS Price Action: Hims & Hers Health shares were down 0.56% at $28.28 during premarket trading on Wednesday, according to Benzinga Pro data.

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Telehealth company Hims & Hers (HIMS.N) said on Monday it has begun offering branded GLP-1 weight-loss drugs and other treatments to men in Australia as ​it continues to expand its international business.

Hims finalized its acquisition of Australian digital ‌health platform Eucalyptus, including its Sydney-based men's telehealth brand Pilot, earlier this year.

Pilot will allow Hims to offer products ranging from sexual health medications to cholesterol treatments, according to former Eucalyptus CEO ​Tim Doyle, now a senior vice president at Hims & Hers.

"Combining Pilot's deep local ​knowledge with Hims’ global platform gives us a meaningful opportunity to help ⁠even more Australians access better, more comprehensive weight-loss care," Doyle said.

Hims will transition ​existing Pilot clinicians to its platform and plans to launch its women's health segment in ​Australia later this year through Juniper, Eucalyptus' women's brand.

The move into Australia by Hims will provide easier access to preventative care and cut down on travel and wait times for Australian customers, Doyle ​said.

"Difficulty of rural access is a big factor in Australia," he added.

A spokesperson for ​Hims said its weight-loss program in Australia may include access to branded GLP-1 medications. Hims offers branded ‌weight-loss ⁠drugs including Novo Nordisk's Wegovy and Eli Lilly's (LLY.N) Zepbound in the U.S.

Doyle said he expects Hims to combine services that customers previously purchased separately, in addition to introducing new treatment options in Australia.

Hims aims to reach $6.5 billion in revenue by 2030. It has ​been investing in diagnostic ​testing, manufacturing infrastructure, menopause ⁠and hormonal treatments and international expansion.

International business has helped boost subscriptions and increase monthly revenue per subscriber by 21% from a ​year earlier, but has weighed on gross profit margins. Hims during ​its second-quarter ⁠earnings call said it expects gross margins to remain below historical levels, as it accelerates international offerings.

Hims in 2025 bought Zava, a London-based company that prescribes and delivers weight-loss drugs ⁠in ​the UK, Germany, France and Ireland.

Doyle said Hims is ​prioritizing brand visibility and gaining international subscribers. The company in the long term will improve the efficiency of ​its international business, he said.

The telehealth sector relies heavily on frictionless subscription models to sustain top-line growth. When consumers find those subscriptions difficult to cancel, they bypass customer service and call their credit card providers. A recent surge in these chargebacks has forced a major global payment network to intervene in the operations of a leading virtual care provider.

Hims & Hers Health Today

HIMS

Hims & Hers Health

$30.60 -3.18 (-9.40%)

As of 02:41 PM Eastern

This is a fair market value price provided by Massive. Learn more.

$13.74▼

$65.30$32.50

Visa Inc. NYSE: V recently placed Hims & Hers Health NYSE: HIMS into its Acquirer Monitoring Program following a spike in billing disputes. This action introduces an immediate financial penalty for every contested transaction, directly targeting the unit economics of the telehealth platform.

For investors watching Hims & Hers Health gap down, the situation reveals a critical vulnerability: aggressive customer acquisition strategies can erode long-term profitability. Understanding the mechanics of this payment network penalty is essential for evaluating the forward guidance of consumer-direct medical platforms.

Get Hims & Hers Health alerts:

Card Declined: Unpacking the Visa PenaltyOn the surface, the narrative around Hims & Hers Health centers on rapid expansion into new healthcare verticals. Beneath that growth, a fundamental friction is playing out. In late July, the Federal Trade Commission, joined by the attorneys general of California and Utah, filed a lawsuit alleging that Hims & Hers Health engaged in deceptive billing practices. The complaint alleges that the platform trapped users in recurring subscriptions by deliberately obscuring the cancellation process behind confusing interfaces.

Visa Today

V

Visa

$380.66 +9.62 (+2.59%)

As of 02:41 PM Eastern

This is a fair market value price provided by Massive. Learn more.

$293.89▼

$381.980.70%

32.37

$413.58

When consumers cannot easily click a button to stop a charge, they initiate a chargeback. Visa responded to this elevated dispute volume by triggering its Acquirer Monitoring Program. Every time a patient disputes a charge, Visa levies an $8 penalty. While an $8 surcharge might seem negligible against the backdrop of a multibillion-dollar valuation, it functions as a systemic tax on the revenue engine.

The aggregate penalty, approaching roughly $75,000 for a single recent month, is less concerning than what it represents: a structural flaw in customer retention that regulators and payment networks are no longer willing to ignore. Subscription models rely on a delicate balance between customer acquisition costs and lifetime value. When chargebacks spike, that equation breaks down.

Tollbooth Economics: Visa Wins While Hims PaysThe immediate fundamental concern for investors is margin compression. Hims & Hers Health already reported a sharp contraction in gross margin in its second-quarter earnings, down to around 64% from roughly 76% a year prior. Adjusted earnings before interest, taxes, depreciation, and amortization guidance for the third quarter also landed on the softer side of analyst expectations, signaling that internal operational friction is already degrading profitability.

To exit Visa's penalty box, Hims & Hers Health must suppress its dispute rate below 1.5% for three consecutive months. Doing so inherently requires introducing more friction into its high-speed customer acquisition funnel. Implementing clearer cancellation buttons, sending mandatory opt-in confirmations, and overhauling billing transparency naturally slows down subscriber momentum. These necessary compliance measures create a definitive drag on top-line growth. Any deceleration in subscriber additions forces the market to reprice the valuation multiple.

Conversely, Visa remains entirely insulated. Visa's asset-light, tollbooth model allows it to maintain net margins hovering near 51%. Visa collects its standard processing fees along with newly imposed penalty surcharges, which are entirely unaffected by the regulatory turbulence shaking the telehealth space. Visa does not assume customer acquisition risk, yet it participates in every transaction, good or bad.

Executive Ejection: Insiders Exit Before the TollsWhen fundamental metrics begin to shift, tracking management's capital allocation provides essential context. The 12-month insider trading profile for Hims & Hers Health shows heavy distribution, registering nearly $60 million in annualized selling against negligible open-market purchases.

Timing adds weight to these transactions. Payment processor Stripe reportedly notified Hims & Hers Health of its penalized status in early August. Shortly after that notification, the Chief Financial Officer liquidated over 14,000 shares through a series of block sales.

Executives sell equity for many reasons, including tax obligations, pre-planned 10b5-1 programs, and routine diversification. However, large distributions clustered closely around undisclosed operational headwinds often signal internal capitulation regarding near-term margin stabilization.

When the architects of a balance sheet reduce their exposure ahead of mounting compliance costs, the broader market takes notice. Investors should weigh this outflow against the upcoming earnings cycle, as executives will need to answer for these rising regulatory costs.

The Peptide Fast Lane: A Bullish BypassA purely bearish outlook ignores the structural tailwinds that can overpower these payment-processing friction costs. Hims & Hers Health has experienced a strong revenue surge driven by its aggressive rollout of compounded GLP-1 weight-loss peptides. This segment operates in a complex, highly lucrative regulatory environment dependent on federal drug shortage classifications.

The Food and Drug Administration allows compounding pharmacies to recreate branded medications when the original drugs are in national shortage. Should the regulatory landscape shift favorably, or if Hims & Hers Health successfully scales its customized peptide offerings without federal interference, the resulting top-line expansion could easily dwarf the Visa penalties.

The underlying demand for GLP-1 alternatives remains staggering. Hims and Hers' stock trades at a price-to-sales ratio just over 3, indicating the market is still pricing in sustained, aggressive growth. Any positive regulatory catalyst surrounding the peptide pipeline possesses the precise characteristics needed to ignite a rapid short squeeze. Traders heavily shorting the equity based solely on the billing dispute narrative face high binary risk if the compounding pharmaceutical division receives a clear regulatory runway.

Pick a Lane: Infrastructure Vs. GrowthMarket participants currently face a polarizing environment. The fundamental short thesis relies on impending compliance costs, elevated processing fees, and the systemic drag of a Federal Trade Commission lawsuit eroding free cash flow. If Hims & Hers Health struggles to lower its dispute rate without throttling new customer additions, downward revisions to forward revenue guidance become increasingly possible.

Hims & Hers Health, Inc. (HIMS) Price Chart for Monday, August, 24, 2026

On the other side of the trade, the compounded weight-loss pipeline offers explosive upside optionality that routinely defies standard valuation models. Investors might view this environment as a reason to stay on the sidelines until a clearer trend emerges in the upcoming earnings cycle.

Those seeking exposure to the overarching digital economy without the regulatory risk often gravitate toward the infrastructure layer. Holding a payment network like Visa allows investors to benefit from transaction volume across the entire consumer health sector, collecting consistent tolls regardless of which individual telehealth platform wins the market share battle. Evaluating both the friction of the penalty box and the promise of the peptide pipeline will be critical for anyone allocating capital in this space.

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Andrew Dudum, the chief executive officer of Hims & Hers Health, Inc. (HIMS -4.26%), disposed of 78,859 shares of Class A Common Stock on August 14, according to a recent SEC Form 4 filing.

Transaction summaryMetricValueTransaction value$2.2 millionShares sold78,859Post-transaction shares (directly held)1,033,177Post-transaction shares (indirectly held)8,640,870Post-transaction value$272.32 millionTransaction value based on SEC Form 4 weighted average sale price ($28.15); post-transaction value based on the August 14 market close ($28.15).

Key questionsWas this a discretionary trade?
The disposition was non-discretionary and was executed solely to cover mandatory tax withholding obligations in connection with the quarterly vesting of Restricted Stock Units. This type of transaction is a standard administrative event and does not reflect the CEO's view on the company's valuation or future performance.What are the terms of the underlying equity awards?
The Restricted Stock Units are subject to service-based vesting requirements satisfied over four-year periods. These awards vest in substantially equal quarterly installments, providing the executive with continuous equity accumulation as long as service requirements are met.Through which entities are the indirect shares held?
Dudum manages his indirect holdings through eight separate entities, including the AD 2022 GRAT, AD 2022 GRAT 2, Dudum Family Community Property Trust, Dudum Legacy 2021 Trust, Dudum Family Heritage Trust, Dudum Family 2021 Trust, Andrew Dudum 2015 Trust, and the AD 2025 GRAT.What has been the equity's performance leading up to this event?
As of the transaction date on August 14, the company's stock had a one-year total return of -40%. Company OverviewMetricValueShare Price (as of market close 2026-08-17)$28.61Market Capitalization$6.4 billionRevenue (TTM)$2.6 billionNet Income (TTM)-$142.0 millionCompany SnapshotHims & Hers operates a comprehensive digital health platform that delivers prescription medications, over-the-counter drugs, medical devices, cosmetics, and dietary supplements directly to consumers through its websites and mobile application.The company generates revenue through a direct-to-consumer model by connecting patients with licensed medical professionals for virtual consultations and facilitating the sale of health and wellness products with recurring subscription and transaction-based revenue streams.The company primarily serves consumers seeking convenient, accessible healthcare solutions and wellness products, targeting individuals who prefer digital-first medical consultations and home delivery of pharmaceutical and consumer health products.Hims & Hers Health operates as a leading digital health platform with a $6.4 billion market capitalization and $2.6 billion in TTM revenue, positioning itself at the intersection of telehealth and direct-to-consumer pharmaceutical distribution. The company's integrated platform model creates competitive advantages through operational efficiency, customer convenience, and data-driven personalization. Despite current net losses of $142.0 million TTM, the company's substantial revenue base and market scale reflect strong consumer adoption of its digital-first healthcare delivery model.

What this transaction means for investorsDudum's shares went out four days after Hims' second-quarter report and weeks after the FTC sued the company, but the filing makes it clear that his is routine quarterly RSU withholding, rather than any discretionary call on the stock.

As for those results, second-quarter revenue hit $753.2 million, up 38%, and management raised the full-year range to $3.1 billion to $3.3 billion in the August 10 release. However, gross margin fell to 64% from 76% a year earlier as branded weight loss drugs and international revenue took over the mix, and CFO Yemi Okupe said on the call that margins "will remain below the levels we have historically achieved." The firm reported a larger $86.3 million net loss for the period, which includes a $47.5 million accrual tied to the FTC suit filed July 29 alongside Utah and Los Angeles County and lands in the middle of a sustained series of FTC enforcement actions against telehealth and digital health companies. Third-quarter guidance calls for $880 million to $900 million, and long-term investors should stay focused on that number for now, which decides whether the margin trade-off is working.

Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Hims & Hers Health. The Motley Fool has a disclosure policy.

Soleil Boughton, the chief legal officer of Hims & Hers Health, Inc. (HIMS -4.26%), reported a non-discretionary disposition of 21,500 shares on August 14, according to a recent SEC Form 4 filing.

Transaction summaryMetricValueTransaction value~$605,000Shares sold21,500Post-transaction shares (directly held)339,075Post-transaction value~$9.5 millionTransaction value based on SEC Form 4 weighted average sale price ($28.15); post-transaction value based on the August 14 market close ($28.15).

Key questionsWhat initiated this disposition of Class A Common Stock?
The transaction was a non-discretionary move executed to satisfy tax withholding requirements tied to the vesting and settlement of restricted stock units.Does this transaction reflect a shift in the insider's assessment of the company?
No, the sale was part of a pre-arranged tax withholding process and does not reflect an active assessment of the company's valuation or future prospects.What is the extent of the insider's remaining equity exposure?
Boughton retains 339,075 shares in direct ownership and also holds additional derivative securities, including both vested and unvested awards.What was the stock's performance context on the transaction date?
The disposition occurred after a one-year return of -40% as of August 14, with the shares priced at $28.15 per share.Company OverviewMetricValueShare Price (as of market close 2026-08-17)$28.61Market Capitalization$6.4 billionRevenue (TTM)$2.6 billionNet Income (TTM)-$142.0 millionCompany SnapshotHims & Hers operates a comprehensive digital health platform that delivers prescription medications, over-the-counter drugs, medical devices, cosmetics, and dietary supplements directly to consumers through its websites and mobile application.The company generates revenue through a direct-to-consumer model by connecting patients with licensed medical professionals for virtual consultations and facilitating the sale of health and wellness products with recurring subscription and transaction-based revenue streams.The company primarily serves consumers seeking convenient, accessible healthcare solutions and wellness products, targeting individuals who prefer digital-first medical consultations and home delivery of pharmaceutical and consumer health products.Hims & Hers Health operates as a leading digital health platform with a $6.4 billion market capitalization and $2.6 billion in TTM revenue, positioning itself at the intersection of telehealth and direct-to-consumer pharmaceutical distribution. The company's integrated platform model creates competitive advantages through operational efficiency, customer convenience, and data-driven personalization. Despite current net losses of $142.0 million TTM, the company's substantial revenue base and market scale reflect strong consumer adoption of its digital-first healthcare delivery model.

What this transaction means for investorsAs chief legal officer, Boughton oversees a key fight that's shaping HIMS stock. The FTC sued the company on July 29 over data sharing and billing practices, and that lawsuit is already showing up on the income statement as a $47.5 million legal contingency in the second quarter. In a statement, the company called the suit an attempt to "generate headlines at our expense,” and the firm's CFO on the latest earnings call said HIMS is "not prepared to accept the terms we do not believe reflect the facts or the law," so investors shouldn't expect a quick settlement.

However, if you set the legal overhang aside, the underlying business is doing fine. Revenue grew 38% last quarter to $753.2 million, and management raised full-year guidance to $3.1 billion to $3.3 billion. The real tension for a buyer isn't insider selling, it's whether that growth is worth paying for while a federal regulator is actively litigating how the company gets its customers. That could be a bet on the lawsuit's outcome as much as one on the business itself.

Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Hims & Hers Health. The Motley Fool has a disclosure policy.

FILE PHOTO: The New York Stock Exchange with a Hims & Hers Health, Inc banner is pictured as a person runs past in the Manhattan borough of New York City, New York, U.S., January 21, 2021.... Purchase Licensing Rights, opens new tab Read more

CompaniesAug 11 (Reuters) - Hims & Hers Health's (HIMS.N), opens new tab shares fell nearly 7% in premarket trading on Tuesday, as concerns over shrinking profit margins overshadowed ​strong subscriber growth and a raised annual revenue forecast.

The ‌company posted second-quarter revenue on Monday that topped expectations and added more than 300,000 subscribers. However, its aggressive push into branded GLP-1 weight-loss drugs and international ​expansion drove up costs, swinging the quarter to a loss versus ​a profit a year earlier.

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Wall Street analysts warned that ⁠the aggressive push for growth could be hurting profitability.

Morningstar analyst Keonhee ​Kim said the subscriber growth was impressive but not enough to ​overlook the continued margin decline after gross margins fell for the fourth straight quarter.

While the company lifted its 2026 revenue forecast, it trimmed the top end of its ​adjusted core earnings outlook.

"The HIMS ramping story should continue, particularly given ​the inevitable peptide entry. But we still see a tough balance between spending ‌to ⁠grow and growth, keeping our optimism limited," Leerink Partners analyst Michael Cherny said.

Chief financial officer Oluyemi Okupe acknowledged the trade-off on an analyst call, saying "As branded weight loss products and international revenue become a larger portion ​of the business, ​we expect ⁠gross margins will remain below the levels we have historically achieved."

Analysts expect the increasing costs to pressure ​the stock. Hims shares have lost roughly 2% ​so far ⁠this year.

Hims & Hers shares over the past two yearsStill, Barclays analyst Glen Santangelo said margins could improve in the second half of the year, despite what he called "not the better ⁠margin ​quarter."

The company is targeting at least $6.5 ​billion in revenue and $1.3 billion in adjusted EBITDA by 2030.

Reporting by Kamal Choudhury in Bengaluru; Editing by Tasim Zahid

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This live blog is being updated by Thomas Richmond, a 24/7 Wall St. contributor. Simply stay on this page, and new updates will appear below automatically.

We expect Hims and Hers Health to release Q2 earnings shortly after 4:05 p.m. ET.

31 minutes ago

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That wraps up our initial coverage of Hims & Hers Health’s Q2 results. Thank you for stopping by!

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Hims & Hers raised its full-year 2026 revenue outlook to between $3.1-$3.3 billion, while guiding for adjusted EBITDA between $275-$325 million.

For Q3, management expects revenue of $880-$900 million and adjusted EBITDA of $75-$95 million.

However, profitability deteriorated sharply in Q2. Gross margin fell to 64% from 76% one year ago, adjusted EBITDA declined to $60.3 million from $82.2 million, and the company swung from a $42.5 million net profit to an $86.3 million net loss.

That profitability pressure helps explain why HIMS stock is down 1% after announcing earnings despite strong revenue growth and the raised outlook.

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Hims & Hers ended Q2 with nearly 2.9 million subscribers, up 19% from 2.4 million one year ago.

The company also generated monthly revenue per average subscriber of $92, representing a 21% year-over-year increase from $76.

The combination of subscriber growth and higher revenue per customer helped drive total revenue 38% higher during the quarter.

Management said its growing customer relationships and investments in a doctor-led AI clinical engine are increasing the depth and reach of its healthcare platform.

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Hims & Hers delivered $753.2 million in Q2 revenue, representing 38% year-over-year growth and a significant acceleration from the start of 2026.

U.S. revenue increased 16% to $621.8 million, while international revenue climbed more than 17-fold to $131.4 million, aided by the completion of the Eucalyptus acquisition in June.

Management expects domestic growth to accelerate further during the second half of the year as the company expands its personalized healthcare platform.

1 hour ago

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Hims & Hers Health just reported earnings, with shares initially down 6% following the report. Here are the key numbers:

Revenue: $753.2 million vs. $730.1 million expected EPS: ($0.37) vs. ($0.05) expected Adjusted EBITDA: $60.3 million vs. $45 million expected Gross Margin: 64% vs. 76% one year ago Free Cash Flow: ($68.2) million Guidance:

Q3 revenue: $890 million Q3 adjusted EBITDA: $85 million FY2026 revenue: $3.2 billion FY2026 adjusted EBITDA: $300 million Quick Read:

Revenue climbed 38% year over year and beat expectations, but Hims & Hers posted a substantially wider-than-expected loss as gross margin contracted by 12 percentage points.

Management raised its 2026 revenue outlook and reaffirmed confidence in its 2030 targets.

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Layered on top of the catalysts already flagged, here are four new factors that could reshape the market’s reaction tonight for Hims & Hers.

ARPU Erosion. Monthly revenue per subscriber slipped to $80 from $85 in Q1, a 6% decline as branded GLP-1s displaced compounded mix. A second consecutive step-down would pressure the FY revenue bridge. Convertible Overhang. The ~$1B convertible debt from the May 2025 offering complicates the $250M buyback pace; aggressive repurchases against dilution math could surprise. Legal Tail. $15M in Q1 legal settlement costs plus unresolved securities class actions tied to the Novo termination remain a P&L wildcard. Canada Generic Semaglutide. Planned 2026 launch could reframe the international growth narrative if management provides a timeline tonight. 1 hour ago

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With roughly 20 minutes until earnings, here’s what could move Hims & Hers Health (NYSE:HIMS) stock after earnings.

What Moves the Stock Tonight Revenue trigger: Beat above $700M; miss below $680M. Adjusted EBITDA trigger: Above $55M bullish; below $35M bearish. Subscribers: Reacceleration past 9% YoY off the 2.6M base validates the GLP-1 pivot. ARPU: Reversal of the $80 monthly figure (from $85) would ease margin fears. FY26 guide: Any move on the $2.8B-$3.0B range is the primary catalyst. Historical context: Missed quarters averaged a -3.41% day-of move, but Q2 2025 sent the stock down -12.36%.

Options imply a sizable swing, so keep an eye on the stock into the earnings report.

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Beyond the headline numbers, there are several under-the-radar catalysts that could swing tonight’s reaction for Hims & Hers Health (NYSE:HIMS).

Eucalyptus Deal Timing. The pending acquisition is slated to close mid-2026, and guidance excludes any contribution. Commentary on the closing window or the reported $450M+ ARR from Australia and Japan would reset the FY2026 $2.80B-$3.00B revenue bar. FX and International Mix. Rest-of-World revenue jumped 969% YoY to $78.19M in Q1, introducing meaningful non-USD exposure via ZAVA, Spain, and Canada. Currency swings now materially impact reported growth. Novo Nordisk Update. Wegovy distribution talks flagged in Q3 2025 remain unresolved; any progress or termination would shift the GLP-1 thesis meaningfully. Options Positioning. The Aug 14 put/call ratio of 1.08 signals defensive hedging, while insiders logged 94 recent transactions, net selling, into the release. 2 hours ago

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Ahead of tonight’s Q2 report, Hims & Hers Health (NYSE:HIMS) trades near $31.65, with Polymarket now pricing a 62% miss probability, up from the 57% cited earlier.

Bull Case Subscribers reached nearly 2.6 million, and international revenue surged 969% YoY to $78.19 million. CFO Yemi Okupe guided to a “meaningful step-up in adjusted EBITDA dollars in the third and fourth quarters.” Shares rallied 13.76% over the past week, and a $250 million buyback sits ready. Bear Case HIMS missed 5 of the last 6 quarters, averaging -3.41% day-of declines on misses. Q1 U.S. revenue fell 8% YoY; GAAP gross margin compressed to 65% from 73%. Composite sentiment sits at 29.78 (Bearish), with insiders net selling across 94 recent transactions. 2 hours ago

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Hims & Hers Health heads into its Q2 earnings report with management guiding for revenue between $680-$700 million.

After the company missed top-line expectations in Q1, investors will want to see a return to stronger growth and execution, as well as evidence that gross margins can recover from the previous quarter’s 65% level.

Prediction markets currently assign a 57% probability that Hims & Hers misses expectations, while Reddit sentiment has turned heavily bearish.

Wall Street’s average price target of $29.23 also implies roughly 8.48% downside from current levels.

Despite this negativity, a strong revenue beat tonight accompanied by stabilizing margins could revive confidence in the company’s healthcare platform and its path toward $6.5 billion in revenue by 2030.

However, a second consecutive miss would strengthen the bearish case and potentially give management an earlier opportunity to deploy its recently authorized share repurchase program.

Hims & Hers Health (NYSE:HIMS) reports Q2 FY2026 results tonight after the bell at 4:05 PM ET. After a brutal Q1 miss and a strategic pivot in weight loss, this quarter tests whether the revenue reacceleration guidance is real.

The Backdrop: Reset Quarter Meets Rebuild Q1 delivered revenue of $608.10 million, up 3.77% year over year, alongside a $92.11 million net loss and EPS of -$0.40. GAAP gross margin compressed to 65% from 73%, weighed down by $33.49 million in restructuring tied to the shift from compounded to branded GLP-1s.

Shares have swung with the story. HIMS trades around $31.94, down 2.71% YTD and 38.12% over one year, though the stock rallied roughly 3% in the past week. Subscribers reached 2.6 million, but monthly revenue per subscriber slipped to $80 from $85.

Consensus and Guidance Metric Q2 2026 Guidance YoY Growth FY 2026 Guidance Revenue $680M to $700M 25% to 28% $2.8B to $3.0B Adjusted EBITDA $35M to $55M Margin 5% to 8% $275M to $350M Guidance implies a sharp reacceleration from Q1’s 4% growth, driven by branded GLP-1 momentum and international revenue, which grew 969% year over year to $78.19 million. FY26 guidance excludes Eucalyptus, which management targets to close mid-year.

What I’m Watching Tonight: Margin Repair and GLP-1 Traction Tonight, I’ll be watching the company’s gross margin. CFO Yemi Okupe told investors, “We expect gross margins to compress as we prioritize scaling areas such as weight loss, labs, and international markets.” Any stabilization above the Q1 adjusted 70% level could reframe the profitability debate.

Investors will also be watching the company’s Novo Nordisk ramp. Management disclosed more than 125,000 Wegovy shipments in the first six weeks and expects north of 100,000 new weight loss subscribers per month. The Q2 earnings report will quantify whether branded economics hold up.

I’m also tracking U.S. reacceleration after an 8% domestic decline in Q1, ARPU stabilization at $80, and any commentary on peptide readiness and Eucalyptus timing. CEO Andrew Dudum said “2026 is a defining year for Hims & Hers,” and this quarter will test the thesis.

Earnings History Quarter EPS Surprise Day-Of Move 1-Week Move 30-Day Move Q1 2026 -1266.18% -14.1% -10.35% +7.15% Q4 2025 +92.31% -0.32% +2.33% +34.93% Q3 2025 -41.00% -3.6% -7.1% -8.39% Q2 2025 -25.83% -12.36% -13.62% -12.81% On average, shares moved 1.76% seven days after earnings over the past year.

Contact [email protected] for any questions or corrections.

Hims & Hers Health, Inc. (NYSE:HIMS) will release its second quarter earnings report after the closing bell on Monday, Aug. 10.

Analysts expect the San Francisco, California-based company to report a quarterly loss of 5 cents per share, versus earnings of 17 cents per share in the year-ago period. The consensus estimate for Hims & Hers Health’s quarterly revenue is $730.12 million. It reported $544.83 million last year, according to Benzinga Pro.

On July 23, an Food and Drug Administration advisory panel voted to place the BPC-157 peptide on an allowed pharmacy compounding list.

Hims & Hers Health shares gained 6.5% to close at $31.59 on Friday.

Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables.

Let’s have a look at how Benzinga’s most-accurate analysts have rated the company in the recent period.

B of A Securities analyst Allen Lutz maintained a Neutral rating and raised the price target from $36 to $37 on July 9, 2026. This analyst has an accuracy rate of 56%. Canaccord Genuity analyst Maria Ripps maintained a Buy rating and boosted the price target from $32 to $40 on July 1, 2026. This analyst has an accuracy rate of 69%. Barclays analyst Glen Santangelo maintained an Overweight rating and boosted the price target from $29 to $39 on June 18, 2026. This analyst has an accuracy rate of 56%. JP Morgan analyst Cory Carpenter maintained an Overweight rating and cut the price target from $35 to $33 on May 12, 2026. This analyst has an accuracy rate of 53%. BTIG analyst David Larsen maintained a Neutral rating on May 12, 2026. This analyst has an accuracy rate of 58%. Considering buying HIMS stock? Here’s what analysts think:

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NEW YORK, Aug. 05, 2026 (GLOBE NEWSWIRE) -- The law firm of Kirby McInerney LLP is investigating potential claims against Hims & Hers Health, Inc. (“Hims” or the “Company”) (NYSE: HIMS). The investigation concerns whether the Company and/or members of its senior management may have violated federal securities laws or engaged in other unlawful business practices.

[LEARN MORE ABOUT THE INVESTIGATION]

What Happened?

On July 29, 2026, the Federal Trade Commission (the “FTC”) filed a lawsuit against Hims, accusing the Company of sharing customers’ medical information with third-party advertisers. The FTC complaint accuses the Company of “deceptive and unlawful privacy practices,” including sharing sensitive details about patients’ health with Meta Platforms. On this news, Hims’s stock price fell $4.32 per share, or 14.73%, to close at $25.00 on July 29, 2026.

What Should I Do?

At this stage, no lawsuit has been filed. The investigation is ongoing to determine whether claims may be brought under federal securities laws.

If you purchased or otherwise acquired Hims securities, have information, or would like to learn more about this investigation, please contact Lauren Molinaro of Kirby McInerney LLP by email at [email protected], or fill out the contact form below, to discuss your rights or interests with respect to these matters at no cost.

[LEARN MORE ABOUT SECURITIES CLASS ACTIONS]

Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

Contacts
Kirby McInerney LLP        
Lauren Molinaro, Esq.
212-699-1171
https://www.kmllp.com
https://securitiesleadplaintiff.com/
[email protected]

ATLANTA, July 29, 2026 (GLOBE NEWSWIRE) -- Holzer & Holzer, LLC is investigating whether Hims & Hers Health, Inc. (“Hims & Hers” or the “Company”) (NYSE: HIMS) complied with federal securities laws. On July 29, 2026, the Federal Trade Commission (“FTC”) announced that it is suing Hims & Hers alleging the Company “fails to clearly disclose that it charges consumers for prescriptions almost immediately after they submit an intake form, despite telling consumers that they will be able to consult with a medical provider to find a treatment that is ‘right for them.’” Following this news, the price of the Company’s stock dropped. 

If you purchased Hims & Hers stock and suffered a loss on that investment, you are encouraged to contact Corey Holzer, Esq. at [email protected] or Joshua Karr, Esq. at [email protected], call our toll-free number at (888) 508-6832, or visit our website at www.holzerlaw.com/case/hims-hers-health/ to discuss your legal rights.  

Holzer & Holzer, LLC, an ISS top rated securities litigation law firm for 2021, 2022, and 2023, dedicates its practice to vigorous representation of shareholders and investors in litigation nationwide, including shareholder class action and derivative litigation. Since its founding in 2000, Holzer & Holzer attorneys have played critical roles in recovering hundreds of millions of dollars for shareholders victimized by fraud and other corporate misconduct. More information about the firm is available through its website, www.holzerlaw.com, and upon request from the firm. Holzer & Holzer, LLC has paid for the dissemination of this promotional communication, and Corey Holzer is the attorney responsible for its content.

CONTACT:  
Corey Holzer, Esq.
(888) 508-6832 (toll-free)
[email protected]

Hims & Hers Health, Inc. (HIMS - Free Report) ended the recent trading session at $29.32, demonstrating a -3.04% change from the preceding day's closing price. This change lagged the S&P 500's 0.21% gain on the day. Elsewhere, the Dow gained 1.03%, while the tech-heavy Nasdaq lost 0.22%.

The company's stock has dropped by 9.43% in the past month, falling short of the Medical sector's loss of 0.43% and the S&P 500's gain of 1.7%.

The upcoming earnings release of Hims & Hers Health, Inc. will be of great interest to investors. The company's earnings report is expected on August 10, 2026. The company is expected to report EPS of -$0.07, down 141.18% from the prior-year quarter. Meanwhile, the latest consensus estimate predicts the revenue to be $690.21 million, indicating a 26.68% increase compared to the same quarter of the previous year.

For the full year, the Zacks Consensus Estimates project earnings of -$0.27 per share and a revenue of $2.91 billion, demonstrating changes of -150.94% and +23.78%, respectively, from the preceding year.

Investors might also notice recent changes to analyst estimates for Hims & Hers Health, Inc. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 49.21% lower. Hims & Hers Health, Inc. is holding a Zacks Rank of #3 (Hold) right now.

Looking at valuation, Hims & Hers Health, Inc. is presently trading at a Forward P/E ratio of 1134. This valuation marks a premium compared to its industry average Forward P/E of 24.44.

We can additionally observe that HIMS currently boasts a PEG ratio of 85.1. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Medical Info Systems was holding an average PEG ratio of 2.9 at yesterday's closing price.

The Medical Info Systems industry is part of the Medical sector. This group has a Zacks Industry Rank of 75, putting it in the top 31% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

The New York Stock Exchange with a Hims & Hers Health, Inc banner is pictured as a person runs past in the Manhattan borough of New York City, New York, U.S., January 21, 2021. REUTERS/Carlo... Purchase Licensing Rights, opens new tab Read more

SummaryCompaniesAnalysts estimate peptide industry is worth $2 billion to $3 billionFDA advisers will weigh whether peptides can be used for compoundingRulemaking to add peptides could take up to a year, former FDA official saysHims & Hers aims to offer peptide compounds, if approvedJuly 23 - Hims & Hers Health (HIMS.N), opens new tab is set to tap what analysts estimate could be ​a multi-billion-dollar market for peptides if U.S. regulators loosen manufacturing restrictions.

Hims, primarily known for its personalized treatments of conditions ranging from hair loss to ‌acne, is eyeing peptides not long after its attempts to create compounds of popular weight-loss drugs were smacked down by U.S. regulators. Peptides — used for everything from pain to muscle recovery to beauty — have been promoted by social media influencers and Health and Human Services Secretary Robert F. Kennedy Jr.

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A U.S. Food and Drug Administration advisory committee meets this week to discuss whether the regulator should loosen ​compounding restrictions on seven peptides. If the restrictions are eased, research firm Needham & Co estimates the market could be as big as $3.3 billion, while Leerink analyst ​Michael Cherny estimated the market at $2.2 billion.

Peptides' wider use hinges on the FDA. Because Kennedy has said he has used them, ⁠some analysts say approval is likely regardless of the committee's decision.

If that happens, rulemaking that would allow compounders to make the products for patients could take up to ​a year, according to a former FDA official who requested anonymity.

Hims & Hers first announced it would pursue peptide therapies in 2025, when it purchased a manufacturing facility that ​can produce them. CEO Andrew Dudum has said the treatments would grow in popularity as demand for preventative health increases.

Peptide treatments are drugs built from short chains of amino acids, the same building blocks the body uses to make proteins.

Timing for the launch is uncertain. Dudum said in April that the company would not need to be the first U.S. company to offer peptides.

"If guidance changes, ​our clinical and compliance teams will assess what that means for our platform, and we will adjust accordingly," a Hims spokesperson said.

Hims owns one of the most ​popular compounding pharmacy businesses, which mix ingredients to create personalized treatments for patients. Its stock is notoriously volatile, with dramatic surges and equally staggering selloffs.

Over the last five months, the stock has ‌more than ⁠doubled, in part because the telehealth company entered into a partnership with Danish drugmaker Novo Nordisk (NOVOb.CO), opens new tab.

Compounded products are not reviewed for quality or efficacy by the FDA, unlike branded drugs. States also have authority over compounding.

ANALYSTS EXPECT FDA APPROVALAnalysts, legal experts and investors said they expect the committee to vote for looser regulations on compounding given the support from Kennedy and other industry-aligned members, even as FDA staffers in June challenged the evidence for peptide compounding.

The 14-member committee reviewing peptides has added seven people who operate or ​work for clinics or businesses selling peptide ​treatments.

Bill Holtz, a lawyer at Foley & Lardner, ⁠said Kennedy’s view will likely hold more weight in the review process for peptides than is typical for the agency under prior administrations.

“The law gives the Secretary of Health and Human Services the authority to determine what goes on that list," said ​Holtz.

A spokesperson for HHS did not respond to a Reuters request for comment.

The Alliance for Pharmacy Compounding, a trade organization, ​urged the FDA this month ⁠to allow compounding with regulatory oversight.

Kennedy, who has said he has used peptides, in April described a black market of unregulated products that still make their way into the United States.

PhRMA, the pharmaceutical industry trade organization, said in written comments to the FDA that the agency should not allow peptide compounding under Section 503A of the Federal Food, Drug, and ⁠Cosmetic Act, ​which allows for such combinations.

Ignacio Canto, founder of X-Square Capital, which owns less than 1% of Hims & ​Hers, said he expects Hims to launch the products quickly if it gets the go-ahead.

Options traders expect more volatility in Hims stock in coming weeks, with Trade Alert data showing shares could swing by as ​much as 14% in either direction by the end of the month.

Traders expect more volatility for Hims & Hers sharesReporting by Amina Niasse in New York; editing by Caroline Humer and David Gaffen

Our Standards: The Thomson Reuters Trust Principles., opens new tab

Hims & Hers Health shares HIMS surged 9% on Wednesday after Canaccord Genuity raised its price target on the telehealth company, citing improving sales trends, momentum in its weight-loss business, and growing optimism around its peptide opportunity.

Canaccord analyst Maria Ripps maintained a Buy rating on the stock while increasing her price target to $40 from $32, implying additional upside from current levels.

The upgrade comes after a strong second quarter for Hims & Hers, with the stock gaining approximately 67% during the period.

Ripps said Hims & Hers continues to benefit from stronger credit card spending data and the rollout of branded weight-loss medications.

The analyst noted that Hims has become one of Novo Nordisk's largest telehealth partners for weight-loss drugs.

The company also expanded its international presence by launching generic semaglutide in Canada in late May and completed its acquisition of Eucalyptus in early June.

According to Canaccord, credit card spending data showed adjusted year-over-year sales growth improving throughout the quarter, rising from the mid-to-high single digits in April to the high teens by June.

The company generated $2.37 billion in revenue over the last 12 months while posting 33% revenue growth and a 73% gross profit margin.

Canaccord also said improving sentiment around Hims' peptide strategy has become another positive catalyst for investors.

Investor attention is now turning to the US Food and Drug Administration's Pharmacy Compounding Advisory Committee meeting scheduled for July 23-24.

The committee is expected to review seven peptides after FDA staff recommended against allowing compounding pharmacies to manufacture them, citing limited evidence supporting their use and unresolved safety concerns.

The peptides under review include BPC-157, Emideltide, Epitalon, KPV, MOTS-c, Semax and TB-500.

FDA scientists said available evidence was insufficient to support compounding and noted that potential safety risks could not be ruled out.

Former advisory committee member Dr. Anita Gupta said earlier reviews identified concerns over immune responses.

"At the time, the FDA presented a lot of adverse event data that showed there was a risk of immunogenicity — immune reactions — and that raised some red flags for the committee."

She also warned about product quality issues, saying some peptide products have shown "heavy metals," "microbial contamination" or mislabeling.

Despite the FDA staff recommendation, Ripps remains optimistic about the longer-term opportunity, noting that the advisory committee's current membership appears more supportive of peptides.

Hims has already positioned itself for a potential expansion into peptide therapies.

Earlier this year, the company acquired a California-based peptide manufacturing facility to strengthen its domestic supply chain and support future work in preventive health, metabolic optimization, cognitive performance and recovery science.

Several analysts believe the peptide market could represent a multibillion-dollar revenue opportunity if regulations become more favorable.

Needham analyst Ryan MacDonald described the FDA staff recommendation as unexpected but said it does not represent the final outcome.

"This is not the end of the conversation," he told the Hims House investor community on X, adding that approval odds may be "slightly less," but he is "still operating under the assumption that they will get approved."

MacDonald noted that the advisory committee must still review scientific evidence, hear stakeholder feedback, and make its recommendation before the FDA issues a final decision.

He also said FDA leadership ultimately determines the outcome, while the Department of Health and Human Services oversees the agency, with Health Secretary Robert F. Kennedy Jr. having publicly expressed support for peptide deregulation.