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Investing.com - Truist Securities lowered its price target on Hims and Hers (NYSE:HIMS) to $37.00 from $48.00 on Monday, while maintaining a Hold rating on the stock. The company’s shares, currently trading at $46.02, have declined nearly 8% over the past week, though they maintain a remarkable 195% gain over the past year. According to InvestingPro analysis, HIMS appears overvalued at current levels.
The firm’s analysis suggests Hims’ GLP-1 related revenues may increase in the third quarter, with a further modest rise expected in the fourth quarter, primarily driven by the realization of deferred revenue.
Truist Securities noted that the contribution from the Zava acquisition could help Hims reach the lower end of its revenue outlook despite ongoing pressure in its core business.
The research firm expressed concerns about year-over-year growth in 2026 based on its estimated revenue mix for the second half of 2025.
Truist Securities indicated its analytical framework provides more valuable insights than relying solely on app download or Monthly Active User (MAU) data to forecast revenues.
In other recent news, Hims & Hers Health has been under investigation by the Federal Trade Commission for over a year, focusing on the company’s subscription cancellation practices. No formal accusations have been made against the telehealth company. Additionally, Hims & Hers Health is facing legal challenges as Novo Nordisk has expanded its lawsuits against telehealth providers, including Hims & Hers, over issues related to compounded semaglutide products. The company recently reported earnings that fell short of expectations, though its second-quarter adjusted EBITDA surpassed forecasts due to reduced marketing expenditures.
In response to these developments, BofA Securities has reiterated an Underperform rating with a $28.00 price target, citing concerns about core business growth. Meanwhile, TD Cowen has raised its price target to $48.00, maintaining a Hold rating, highlighting the company’s infrastructure development and international expansion efforts. Truist Securities also maintained a Hold rating with a $48.00 price target, noting the inclusion of revenue from the recent Zava acquisition in the company’s 2025 guidance. These recent developments have garnered significant attention from investors and analysts.
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