Zacks.com users have recently been watching Hims & Hers Health (HIMS) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
Hims & Hers (NYSE:HIMS) is dominating headlines this week because the GLP-1 darling just delivered one of the ugliest quarters in the telehealth sector's short history, and bargain hunters are circling the wreckage.
Hims & Hers faces profit pressure in first-quarter 2026, though subscribers increase and a Novo Nordisk GLP-1 partnership broadens weight-loss care.
Recently, Zacks.com users have been paying close attention to Hims & Hers Health (HIMS). This makes it worthwhile to examine what the stock has in store.
Hims & Hers Health delivered a misunderstood Q1-26, raising FY-26 guidance and reaffirming 2030 revenue and EBITDA targets despite negative sentiment. The transition from compounded to branded GLP-1s pressured margins, but normalized gross margins remain robust and marketing spend is a lever for profitability. Subscriber growth is poised to reaccelerate, with expectations of 100k new weight loss subscribers per month via the Novo partnership, supporting a 30–35% YoY increase.
I'm upgrading Hims & Hers Health to a buy as the branded GLP-1 transition outpaces my expectations, in turn restores growth visibility. HIMS shipped 125,000 Wegovy units in six weeks, and management is now guiding for 100,000+ monthly weight-loss subscriber additions. My three main concerns, including identity crisis, growth engine, and regulatory overhang, are resolved, but margin compression remains a risk.
Hims & Hers Health raised FY2026 revenue guidance to $2.8-$3.0 billion despite reporting a heavily distorted quarterly EPS loss. More than 125,000 Wegovy shipments in six weeks suggest Novo conversion rates are materially outperforming bearish expectations. Gross margin fell to 65%, but adjusted gross margin exceeded 70% after excluding $33 million in restructuring charges.
HIMS reports an adjusted loss and a revenue miss in first-quarter 2026 as gross margin decreases, but it lifts its full-year revenue outlook.
Hims & Hers (NYSE:HIMS) reported first quarter financial results that included a wider-than-expected loss and softer revenue performance, sending shares down nearly 14% to about $25 on Tuesday morning. For the quarter, the telehealth company posted a net loss of $92.1 million, or $0.40 loss per share, compared with a net profit of $49.5 million in the same period last year.
Hims & Hers stock is crashing in pre-market trading, down about 14%, after reporting a disastrous Q1 and an upbeat Q2 outlook. We don't find Q1 weakness surprising due to the Novo deal timing and tough Y/Y comparison with 1Q25. We understand that investors wanted more from print after the stock doubled from $14 lows, but we remain confident that, post-expectation reset, HIMS will be better positioned to beat expectations.
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Hims & Hers Health, Inc. (HIMS) Q1 2026 Earnings Call Transcript