SoFi stock falls after announcing $1.5B public offering of common stock
Investing.com - Leerink Partners reduced its price target on Hims and Hers (NYSE:HIMS) to $41.00 from $46.00 on Thursday, while maintaining an Outperform rating on the stock.
The adjustment follows discussions with HIMS investor relations after the company’s recent earnings report, which revealed plans for increased investments beyond initial analyst expectations. These investments aim to support long-term growth but will create additional margin pressures next year.
Leerink’s analysis included evaluation of the company’s base business, GLP-1 trajectory, and the new Labs launch featuring a partnership with Quest Diagnostics (NYSE:DGX) to provide bloodwork diagnostics plans to members.
Despite lowering the price target, Leerink maintained its target multiple of approximately 25x CY26 EBITDA, indicating continued confidence in the company’s long-term business model.
The firm’s assessment comes amid two recent deals announced by Hims and Hers this week, though specific details about these transactions were not provided in the analyst’s comments.
In other recent news, Hims & Hers Health has announced its official expansion into the Canadian market, following the acquisition of Livewell, a Canadian digital health platform specializing in weight loss treatments. This strategic move will allow Hims & Hers to introduce its comprehensive weight loss program in Canada, aligning with the anticipated availability of generic semaglutide. Additionally, Hims & Hers has entered into a definitive agreement to acquire YourBio Health, a Boston-based company known for its capillary whole blood sampling technology. The all-cash transaction is expected to close in early 2026, pending regulatory approvals. Moreover, the company has launched a new share repurchase program, approved by its board, authorizing the buyback of up to $250 million of its Class A common stock, with the program set to expire in November 2028. These developments reflect Hims & Hers’ ongoing efforts to expand its market presence and invest in innovative health solutions.
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