HIMS launches six-month Wegovy access at $549/month, aiming to expand affordable obesity care with holistic weight loss solutions.
Hims & Hers Health continues to fire on all cylinders as a business, growing at extraordinary rates while also improving its margins. Today, I will offer a unique and simplified view of the business based on its recently announced, and very important, deal with Novo Nordisk. In short, based on Hims multi-product and multi-brand platform, which has generated sustained free cash flow for years now alongside healthy growth, I believe there's still upside ahead.
Hims & Hers continues to deliver strong subscriber and revenue growth, with Q1 2025 revenue up 111% year-over-year and operating leverage improving. The business model's shift to a subscription platform with personalized care unlocks significant long-term free cash flow and expansion opportunities. Management's guidance and execution support a path to $6.5B in revenue by 2030, with my valuation thesis still intact and suggesting undervaluation.
Hims and Hers, Inc. NYSE: HIMS shows strongly bullish signs that begin and end with the stock price action. It reflects volatility, but the bias is upward with rising support and the most recent swing, a bullish rebound, looks very strong within the pattern.
Hims & Hers leads with AI-powered, personalized health plans (over 70% of new users opt in). Recurring revenues surge as tailored care drives loyalty.
HIMS is expanding its health and wellness products and services and increasing its focus on AI to solidify its footing. However, macro challenges may hurt performance.
Hims & Hers Health's rapid revenue and subscriber growth, plus improving cash generation, highlight strong business momentum and brand strength. Gross margins have declined due to lower-margin obesity products, but SG&A as a percentage of revenue is improving, supporting better operating leverage. The recent Novo Nordisk collaboration and capital raise position Hims for expansion, though reliance on GLP-1 drugs and competition are key risks.
Does Hims & Hers Health, Inc. (HIMS) have what it takes to be a top stock pick for momentum investors? Let's find out.
Hims' operating leverage was outstanding at 5:1 over revenue growth. This is irrefutable proof of a scalable business. Hims' new TAMs should provide billions to the top line, hundreds of millions to the bottom, and dollars to EPS. Hims is likely a decade-plus ahead of competitors at this point with 'The Hims Trinity.'
Hims & Hers delivered impressive Q1 2025 results, with 111% y/y revenue growth and 38% y/y subscriber growth, driven by strong uptake of personalized GLP-1 offerings. Despite a projected Q2 revenue decline due to product transitions, management reaffirmed full-year 2025 revenue guidance of $2.3–2.4B and raised adj. EBITDA guidance to $295–335M. Long-term growth prospects remain strong, with a target of $6.5B+ revenue and $1.3B+ adj. EBITDA by 2030, driven by TAM penetration, new specialties, and AI integration.
Hims & Hers Health rebounded from a 60% stock drop by partnering with Novo Nordisk, offering Wegovy at a competitive price, boosting accessibility and growth. Q1 earnings were exceptional with 111% YoY revenue growth and a 345% increase in net income, highlighting a sustainable and resilient business model. The company's personalized healthcare approach and new product launches, like low testosterone and menopause support, are driving subscriber growth and higher revenue per subscriber.
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