’Reddit is built for this moment’ - Stock soars on crushed earnings
SAN FRANCISCO - Hims & Hers Health, Inc. (NYSE:HIMS) announced Tuesday that customers using its compounded GLP-1 weight loss treatments lost an average of 20.9 pounds, or 10.3% of their initial body weight, within six months.
According to data released by the health and wellness platform, which has achieved profitability with $164 million in net income, 75% of customers remained on their treatment plans during the six-month period, compared to dropout rates for commercially available GLP-1s that can reach around 80% in the same timeframe. According to InvestingPro analysis, the company is currently trading above its Fair Value, reflecting strong investor confidence in its growth trajectory.
The company’s analysis, which examined de-identified data from 13,458 weight loss customers prescribed compounded injectable GLP-1 medication, also reported that only 10.3% of users experienced side effects, with just 4.5% describing these side effects as intolerable.
The digital health platform combines medication with 24/7 care team access and educational support across nutrition, mental health, and physical wellness. Customers exchanged over 6.7 million messages with their care teams, with 75% receiving responses within 5 hours.
Wait times for evaluation by a licensed provider averaged approximately 3 hours, compared to the roughly 5-month average wait time to see an obesity medicine specialist in the U.S., according to the company.
"My two decades as an obesity medicine specialist have shown me that lasting weight loss hinges on treating the individual, not just the condition," said Craig Primack, Head of Weight Loss at Hims & Hers, in the press release.
Among customers who completed a 6-month check-in, 97% reported an improvement in their overall health, and 73% preferred their digital health experience with Hims & Hers over other programs or providers, according to the company’s statement.
The findings were published in a white paper based on data collected through June 30, 2025. With the company’s next earnings report due on August 4, investors can access comprehensive analysis and 17 additional exclusive ProTips through InvestingPro, which provides detailed insights into the company’s impressive 143% year-to-date stock performance.
In other recent news, Hims and Hers has announced plans to expand its weight loss program into Canada in 2026, aligning with the availability of generic semaglutide in the Canadian market. This expansion comes on the heels of the company’s acquisition of Zava, marking a step in its international growth strategy. However, the company is facing challenges, as BofA Securities has maintained an Underperform rating, citing potential litigation risks and pressure on full-year guidance due to declining core growth. Morgan Stanley has also reiterated its Equalweight rating, noting a decrease in app downloads by 8% year-over-year in June, which indicates slowing business momentum.
Additionally, the company’s partnership with Novo Nordisk ended in June 2025, following disagreements over the offering of compounded semaglutide doses. Despite these setbacks, Morgan Stanley continues to support the company’s stock rating amid plans for Canadian expansion. Meanwhile, Citi has reiterated a Sell rating, expressing skepticism about the company’s growth prospects even with the upcoming international launch. These developments highlight a complex landscape for Hims and Hers as it navigates both opportunities and challenges in the telehealth sector.
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