HIMS stock is currently trading at levels last seen in September 2024 and has fallen over 50% year-to-date.
- BTIG downgraded the stock to ‘Neutral’ from ‘Buy’ citing “disappointing” fourth quarter results and “weak” outlook for the quarter head.
- Morgan Stanley slashed its price target on HIMS by nearly 50% to $21 from $40.
- Citi and Bank of America also lowered their outlook for the stock anticipating volatility ahead.
Shares of Hims & Hers (HIMS) garnered retail attention on Tuesday after several analysts slashed their price targets on the stock on the heels of first-quarter (Q1) revenue forecasts that fell below Wall street estimates.
The telehealth firm on Monday forecast revenue of $600 million to $625 million for Q1, missing estimates of $632.32 million, according to data from Fiscal AI.
For the full year 2026, the company expects revenue to be in the range of $2.7 billion to $2.9 billion. The company also confirmed a probe from the Securities and Exchange Commission (SEC) regarding compounded Semaglutide. Semaglutide is the active ingredient in Novo Nordisk’s GLP-1 class weight-loss drug Wegovy.
HIMS stock fell to an intra-day low of $13.74 on Tuesday before paring losses and edging 0.8% higher by mid-afternoon, still trading at levels last seen in September 2024, as per TradingView data. The drop came after several analysts slashed their price targets on the stock on Tuesday, as per TheFly. HIMS was among the top trending tickers on Stocktwits at the time of writing.
HIMS Stock Downgraded To ‘Neutral’
BTIG analyst David Larsen downgraded Hims & Hers to ‘Neutral’ from ‘Buy’ with no price target following the company's "disappointing" Q4 results. The firm also noted "weak" Q1 guidance, slowing revenue growth, and increased legal and regulatory risk.
BTIG said its "primary concern" is that even though Hims & Hers stated that there will be about a $65 million in revenue headwind in Q1 due to "shipping cadences," the firm thinks this may at least in part be due to increased regulatory scrutiny, possible changes in marketing and advertising, or greater demand for branded GLP-1s from consumers.
Morgan Stanley Cuts HIMS Stock Price Target In Half
The majority of analysts cited concerns around the company’s outlook for the coming quarter and financial year 2026 as their key concern moving forward. Morgan Stanley slashed its price target on HIMS stock by nearly 50%, down to $21 from $40, and kept an ‘Equal Weight’ rating on the shares.
Citi lowered the firm's price target on Hims & Hers to $13.25 from $16.50 and kept a ‘Sell’ rating on the shares, citing expectations of continued volatility for HIMS shares, with key questions surrounding the company's GLP-1 franchise left unanswered on the earnings call. The company's fiscal 2026 guidance is heavily back-half weighted, the analyst told investors in a research note.
Meanwhile, Bank of America (BofA) lowered the firm's price target on Hims & Hers to $12.50 from $13 and kept an ‘Underperform’ rating on the shares after the "mixed quarter."
How Did Stocktwits Users React?
On Stocktwits, retail sentiment around HIMS stock rose from ‘neutral’ to ‘extremely bullish’ territory over the past 24 hours, while message volume increased from ‘low’ to ‘extremely high’ levels.
Earlier this month, Hims said it would launch compounded copies of Novo’s Wegovy pill but was cut short by the U.S. Food and Drug Administration. The FDA also warned the company of action. HIMS stock has dropped over 50% over the past 12 months.
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