HIMS May See Heightened ‘Gyrations’ As Weight-Loss Drug Trends Fuel Subscriber Uncertainty, Jefferies Warns – Stock Hits 7-Month Lows

Jefferies said a ‘dynamic GLP-1 environment’ would continue to cause volatility in Hims & Hers’ subscriptions

• The firm lowered HIMS’ price target to $24 from $31, and maintained a ‘Hold’ rating, according to The Fly.
• Q3 subscribers grew 13% year over year but declined by around 100,000 sequentially.
• Needham analyst Ryan MacDonald attributed the weaker quarter to lower marketing spending.

Shares of Hims & Hers Health (HIMS) fell to seven-month lows on Tuesday after disappointing third-quarter earnings, with Jefferies warning that uncertainty surrounding weight-loss drug demand could trigger continued sharp swings in the telehealth provider’s stock.

At the time of writing, HIMS shares were down more than 15%, tracking their biggest single-day decline since February.

Jefferies Warns Of Volatility Due To GLP-1 Trends

Jefferies lowered HIMS’ price target to $24 from $31, and maintained a ‘Hold’ rating, according to The Fly. This represents a 20% upside potential from current levels.

The brokerage attributed the company’s quarterly subscriber decline primarily to reduced advertising spending and warned that a ‘dynamic GLP-1 environment’ would continue to cause volatility in subscriptions.

Jefferies added that HIMS’ sensitivity to weight-loss prescription trends will lead to “heightened stock gyrations” and make holding on to the shares challenging.

Needham analyst Ryan MacDonald also attributed the weaker quarter to lower marketing spending. He lowered the price target to $32 from $42 but maintained a ‘Buy’ rating.

Subscribers grew 13% year over year to nearly 2.8 million during the quarter, but declined by around 100,000 sequentially.

HIMS Reports Surprise Q3 Loss And Slashes FY2026 Earnings Outlook

Hims & Hers reported a 49% increase in third-quarter (Q3) revenue to $890.4 million, narrowly missing Wall Street’s $892.77 million estimate, according to Fiscal.ai. However, the company swung to a net loss of $33 million, or $0.14 per share, from a $15.8 million profit a year earlier. Analysts had expected earnings of $0.06 per share.

Hims & Hers lowered its full-year 2026 adjusted earnings before interest, tax, depreciation and amortization (EBITDA) forecast to $257 million to $277 million from $275 million to $325 million, while narrowing revenue guidance to $3.13 billion to $3.15 billion.

Retail Turns ‘Extremely Bullish’ On HIMS

Despite the slump, retail sentiment surrounding HIMS on Stocktwits turned ‘extremely bullish’ from ‘bullish’ over the past 24 hours, amid a mammoth 9,300% surge in message volume.

One user expects HIMS stock to rebound to $22 to $25.

View this Stocktwits post

HIMS shares have declined nearly 42% so far this year.

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