New York, Feb 26, 2026, 08:43 EST — Premarket
Hims & Hers Health shares nudged 0.3% higher ahead of Thursday’s open, building on Wednesday’s 2.3% advance. The telehealth firm wrapped up the last session at $15.82, after trading in a range from $15.06 to $16.46 during the day. On Tuesday, the stock had dropped to $13.74.
Wall Street’s mood flipped quickly. BTIG Research knocked the stock down to “neutral” from “buy,” pointing to soft first-quarter guidance and, in their words, mounting legal and regulatory pressure around weight-loss meds. Citi chimed in separately, slashing its price target to $13.25 from $16.50 while sticking with a “sell.” The bank flagged lingering doubts over the company’s GLP-1 franchise and noted that its 2026 outlook looks back-heavy. Investing.com
This isn’t just theoretical. In its annual report, Hims disclosed it was singled out in an FDA statement signaling plans to clamp down on GLP-1 ingredients in widely sold compounded drugs that haven’t cleared FDA approval. The company also noted the HHS general counsel posted on X about a referral to the Justice Department for possible violations. And back in February, according to the filing, the SEC’s Division of Enforcement launched a probe and told Hims to hang onto records related to public comments and disclosures involving compounded semaglutide and certain business ties.
Hims revealed in filings that Novo Nordisk filed a patent infringement lawsuit against the company on Feb. 9 in Delaware federal court. The suit targets compounded semaglutide GLP-1 products offered via the Hims platform, with Novo Nordisk seeking a permanent injunction effective through the patent’s expiration in December 2031.
Hims has pushed its narrative around scale and reach. For 2025, revenue landed at $2.35 billion, a 59% jump, with net income at $128 million and subscriber count passing 2.5 million. The company offered a 2026 revenue outlook of $2.7 billion to $2.9 billion and sees adjusted EBITDA between $300 million and $375 million—excluding interest, taxes, and certain non-cash costs. CEO Andrew Dudum described Hims as “well on our way to becoming the global leader in consumer health.” CFO Yemi Okupe drove home the growth pace: “Revenue grew 59% year-over-year to $2.35 billion.” The forecast doesn’t factor in any upside from the planned Eucalyptus deal and assumes it can keep supplying compounded semaglutide via its platform. Cloudfront
Investors are left juggling two somewhat mismatched narratives here: there’s the subscription business—growing quickly and branching into new specialties—and then there’s the weight-loss product, hemmed in by shifting regulations, legal actions, and ongoing probes.
The risk stands out: Should regulators move quickly on compounding restrictions before the company pivots demand elsewhere, or if lawsuits choke off access to semaglutide-linked products, then growth projections take a hit. Margins might get squeezed at the very moment expenses climb.
Next up: executives will face questions on the road. Hims has a spot at the Morgan Stanley Technology, Media & Telecom Conference on March 2.
