Hims and Hers stock maintains Buy rating at BTIG despite GLP-1 slowdown

Published 12/09/2025, 11:16
Hims and Hers stock maintains Buy rating at BTIG despite GLP-1 slowdown

Investing.com - BTIG has reiterated its Buy rating and $85.00 price target on Hims and Hers (NYSE:HIMS) despite revenue slowdown in the second quarter of 2025. The company, currently trading at $51.76 with a market capitalization of $11.7 billion, has demonstrated remarkable growth with an 88.69% revenue increase over the last twelve months. According to InvestingPro analysis, HIMS maintains a strong financial health score, though it’s currently trading at premium valuations.

The research firm attributes the second-quarter revenue deceleration to the end of the grace period for bulk compounded GLP-1s on May 22, 2025. BTIG believes the majority of HIMS’ GLP-1 products had been coming from the 503B bulk compounding business, causing a dramatic slowdown when that option was eliminated.

BTIG notes that Hims and Hers maintains strict clinical compliance standards and will only use 503A GLP-1 compounded products when deemed clinically appropriate by prescribing physicians.

The firm expects 503A volumes may increase in the third quarter of 2025 and considers the company’s guided $725 million-plus in weight loss revenue for 2025 to be conservative. BTIG estimates compounded GLP-1 products will likely exceed this figure and grow sequentially from the first half to second half of 2025.

BTIG maintains a positive outlook on both Hims and Hers and LifeMD (NASDAQ:LFMD) in the telehealth and digital health space.

In other recent news, Hims & Hers Health has signed a 15-year lease for a new facility in New Albany, Ohio, with an annual rent of $5.98 million. The facility will be used for various purposes, including office space, research and development, and pharmaceutical dispensing. Meanwhile, BofA Securities has maintained its Underperform rating on Hims & Hers, with a price target of $28. The firm cites increasing competition in the direct-to-consumer healthcare space as a concern. Additionally, Truist Securities has lowered its price target for Hims & Hers to $37 from $48, while keeping a Hold rating, due to a revised outlook on GLP-1 related revenues. The firm anticipates a modest increase in these revenues in the coming quarters. These developments highlight the ongoing challenges and opportunities facing Hims & Hers in the evolving healthcare market.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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