Hims & Hers Health, Inc. (HIMS) Quarterly Earnings and Strategic Partnerships Drive Optimism

• Ryan Macdonald from Needham sets a price target of $65 for NYSE:HIMS, indicating a potential upside of 21.25%.
• The acquisition of ZAVA is expected to expand Hims & Hers' market opportunity by $52 billion.
• HIMS stock experiences a 5.8% increase in premarket trading following the acquisition announcement.

Hims & Hers Health, Inc. (NYSE:HIMS) is a leading telehealth company that offers a wide range of health and wellness services. The company specializes in providing personalized healthcare solutions in areas such as dermatology, weight loss, sexual health, and mental health. Competing with other telehealth giants like Teladoc Health and Amwell, Hims & Hers is keen on expanding its market presence both in the U.S. and internationally.

On June 4, 2025, Ryan Macdonald from Needham set a price target of $65 for NYSE:HIMS, suggesting a potential upside of 21.25% from its current trading price of $53.61. This optimistic outlook is largely due to Hims & Hers' strategic acquisition of ZAVA, a European digital health platform. The acquisition, which is funded entirely in cash, is expected to close in the latter half of 2025, potentially expanding the company's market opportunity by $52 billion.

The acquisition of ZAVA will significantly enhance Hims & Hers' presence in the U.K. and facilitate its entry into Germany, France, and Ireland. ZAVA, which currently serves over 1.3 million active customers and conducted nearly 2.3 million consultations in 2024, will bolster Hims & Hers' international footprint, allowing the company to offer tailored healthcare services across Europe.

Despite the promising expansion, NYSE:HIMS stock has experienced a decline, currently priced at $53.61, reflecting a decrease of 2.05% or $1.12. The stock has fluctuated between a low of $52.80 and a high of $59.29 during the day. Over the past year, it reached a high of $72.98 and a low of $13.47, with a market capitalization of approximately $11.55 billion.

Following the acquisition announcement, NYSE:HIMS stock saw a 5.8% increase in premarket trading, indicating investor optimism. The deal is projected to be accretive by 2026, enhancing Hims & Hers' footprint in Europe and introducing a new, personalized dimension of digital health. The company plans to leverage the ZAVA platform to establish its own branded presence in these markets.

• Citigroup maintains a "Sell" rating for Hims & Hers Health, Inc. (NYSE:HIMS) despite a 38.6% surge in stock price.
• The stock's performance significantly outpaces both the Zacks S&P 500 composite and the Zacks Medical Info Systems industry.
• HIMS showcases volatility with a current stock price of $56.77 and a market capitalization of approximately $12.23 billion.

Hims & Hers Health, Inc. (NYSE:HIMS) is a telehealth company that provides a range of health and wellness products and services. The company focuses on offering accessible healthcare solutions through its online platform, catering to both men and women. HIMS operates in the competitive telehealth industry, where it faces competition from other digital health companies.

On June 2, 2025, Citigroup maintained its "Sell" rating for HIMS, with the stock priced at approximately $56.76 at the time. Despite this rating, HIMS has seen a remarkable surge in its stock price, increasing by 38.6% over the past month. This performance significantly outpaces the Zacks S&P 500 composite's 6.1% rise and the 16.9% gain in the Zacks Medical Info Systems industry.

The current stock price of HIMS is $56.77, reflecting a slight change of $0.21, or 0.37%. The stock has traded between $55.68 and $58.77 today, showcasing some volatility. Over the past year, HIMS has experienced a high of $72.98 and a low of $13.47, indicating a wide range of price movements.

HIMS has a market capitalization of approximately $12.23 billion, highlighting its significant presence in the telehealth sector. Today's trading volume for HIMS is 34,842,297 shares, suggesting active investor interest. As highlighted by Benzinga, the article "Check Out What Whales Are Doing With HIMS" may provide further insights into the stock's dynamics.

While media reports and rumors can cause immediate price fluctuations, fundamental factors like earnings estimate revisions are crucial for long-term investment decisions. Investors should consider these elements when evaluating HIMS's future trajectory in the telehealth industry.

Hims & Hers Health (NYSE:HIMS) reported first-quarter results that showed impressive revenue growth and subscriber expansion but fell short on earnings, with a softer near-term outlook prompting a 7% drop in shares in pre-market today.

The telehealth company posted adjusted earnings of $0.20 per share for Q1 2025, below the analyst consensus of $0.23. Revenue surged 111% year-over-year to $586 million, beating expectations of $538.9 million, as the company continues to scale its direct-to-consumer healthcare model.

The subscriber base grew 38% from the prior year to reach 2.4 million users. However, gross margin narrowed to 73%, down from 82% in the same quarter last year, reflecting increased costs tied to growth and service expansion.

Looking ahead, Hims & Hers reaffirmed its full-year revenue guidance of $2.3 billion to $2.4 billion, in line with analyst expectations, while raising its adjusted EBITDA forecast to a range of $295 million to $335 million.

However, the Q2 revenue outlook of $530 million to $550 million fell short of the $564.5 million consensus estimate, weighing on investor sentiment. The company expects Q2 adjusted EBITDA between $65 million and $75 million.

Hims & Hers Health (NYSE:HIMS) reported first-quarter results that showed impressive revenue growth and subscriber expansion but fell short on earnings, with a softer near-term outlook prompting a 7% drop in shares in pre-market today.

The telehealth company posted adjusted earnings of $0.20 per share for Q1 2025, below the analyst consensus of $0.23. Revenue surged 111% year-over-year to $586 million, beating expectations of $538.9 million, as the company continues to scale its direct-to-consumer healthcare model.

The subscriber base grew 38% from the prior year to reach 2.4 million users. However, gross margin narrowed to 73%, down from 82% in the same quarter last year, reflecting increased costs tied to growth and service expansion.

Looking ahead, Hims & Hers reaffirmed its full-year revenue guidance of $2.3 billion to $2.4 billion, in line with analyst expectations, while raising its adjusted EBITDA forecast to a range of $295 million to $335 million.

However, the Q2 revenue outlook of $530 million to $550 million fell short of the $564.5 million consensus estimate, weighing on investor sentiment. The company expects Q2 adjusted EBITDA between $65 million and $75 million.

• Hims & Hers Health, Inc. (NYSE:HIMS) is set to release its quarterly earnings with an estimated EPS of $0.12 and projected revenue of $538.4 million.
• The company's stock price surged by 23%, closing at $35.04, following the announcement of a partnership with Novo Nordisk to sell the weight-loss drug, Wegovy.
• HIMS showcases a strong financial health with a P/E ratio of 62.84, a price-to-sales ratio of 5.27, and a debt-to-equity ratio of 0.024.

Hims & Hers Health, Inc. (NYSE:HIMS) is a telehealth company that focuses on providing personalized healthcare solutions. The company offers a range of services, including sexual health, dermatology, and mental health, which collectively generated over $1.2 billion in sales in 2024. HIMS is set to release its quarterly earnings on Monday, May 5, 2025, with Wall Street analysts estimating earnings per share (EPS) of $0.12 and projected revenue of approximately $538.4 million.

The MedTech sector, which includes companies like HIMS, is showing promising signs of recovery. As highlighted by Zacks, HIMS, along with GMED, QDRL, and HAE, is expected to surpass Q1 earnings estimates. This positive outlook is attributed to a rebound in base business activities compared to the previous year. Despite ongoing macroeconomic uncertainties, the Medical sector is demonstrating significant earnings growth, outperforming other sectors.

HIMS recently experienced a significant stock price increase of 23%, closing at $35.04 in the last trading session. This surge was driven by a higher-than-average trading volume and the company's announcement of a new partnership to sell Novo Nordisk's weight-loss drug, Wegovy, on its telehealth platform. This collaboration allows U.S. customers to access NovoCare Pharmacy directly through Hims & Hers Health's online platform, offering all dose strengths of Wegovy bundled with a membership for $599 per month.

The partnership with Novo Nordisk helps to de-risk HIMS's investment strategy, although it does not significantly shift the company's primary focus on personalized healthcare solutions. The company had already set a target of $725 million in weight-loss sales for the year, excluding any sales from branded GLP-1 products. HIMS's core business continues to thrive, with substantial contributions from sectors such as sexual health, dermatology, and mental health.

Financially, HIMS has a price-to-earnings (P/E) ratio of approximately 62.84, indicating that investors are willing to pay $62.84 for every dollar of earnings. The company's price-to-sales ratio stands at about 5.27, suggesting that investors are paying $5.27 for every dollar of sales. With a debt-to-equity ratio of about 0.024, HIMS has a relatively low level of debt compared to its equity, and a current ratio of approximately 1.79, indicating a good level of liquidity to cover short-term liabilities.

BofA Securities reiterated its Underperform rating on Hims & Hers Health (NYSE:HIMS), keeping its price target steady at $22, citing signs of decelerating momentum in the company’s core business. The company’s shares are currently down more than 10% intra-day.

Although online revenue in Q1 appears poised to beat consensus estimates—with projections ranging between $567 million and $601 million versus the $528.4 million expected—March data showed a notable slowdown. Year-over-year sales growth dropped by 45 percentage points to 78%, ending a five-month streak of acceleration.

One area of concern is the average transaction value, which fell month-over-month for the first time since September. BofA also noted a decline in GLP-1 sales in March, possibly due to reduced advertising or a transition to alternative weight loss treatments like personalized liraglutide or oral medications.

The firm now estimates GLP-1s accounted for around 38–40% of Q1 sales, suggesting core growth stands closer to 35% year-over-year—better than earlier estimates, but still a drop from the 39% seen in Q4.

With the company’s 2025 guidance assuming a reacceleration in core growth, BofA questions the achievability of its $725 million weight loss target, especially if semaglutide contributions taper off after Q2. Minor adjustments were made to the firm’s forecasts, but the overall cautious view remains unchanged.