Hims & Hers Shares Surge Following $1.15 Billion Acquisition of Australian Telehealth Company
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 7 hours ago
0mins
Should l Buy NVO?
Source: Barron's
- Acquisition Announcement: Hims & Hers Health has agreed to acquire Eucalyptus, an Australian digital health company, for $1.15 billion.
- Market Reaction: Following the announcement of the acquisition, shares of Hims & Hers Health experienced a significant increase.
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Analyst Views on NVO
Wall Street analysts forecast NVO stock price to rise
8 Analyst Rating
4 Buy
3 Hold
1 Sell
Moderate Buy
Current: 49.230
Low
42.00
Averages
54.67
High
70.00
Current: 49.230
Low
42.00
Averages
54.67
High
70.00
About NVO
Novo Nordisk A/S is a global healthcare company engaged in diabetes care. The Company is also engaged in the discovery, development, manufacturing and marketing of pharmaceutical products. The Company operates through two business segments: diabetes and obesity care, and biopharmaceuticals. The Company's diabetes and obesity care segment covers insulin, GLP-1, other protein-related products, such as glucagon, protein-related delivery systems and needles, and oral anti-diabetic drugs. The Company's biopharmaceuticals segment covers the therapy areas of hemophilia care, growth hormone therapy and hormone replacement therapy. The Company also offers Saxenda product to treat obesity. It offers a range of products, including NovoLog/NovoRapid; NovoLog Mix/NovoMix; Prandin/NovoNorm; NovoSeven; Norditropin, and Vagifem. As of December 31, 2016, it marketed its products in over 180 countries. Its regional structure consists of two commercial units: North America and International Operations.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
European Commission Approves Novo Nordisk's New Wegovy Dosage
- New Dosage Approval: Novo Nordisk announced that its 7.2 mg weight-loss drug Wegovy has been approved by the European Commission, allowing sales across 27 EU countries as a once-weekly maintenance dose for adults needing additional weight loss, which is expected to significantly enhance market share.
- Market Expansion: The approval follows a positive opinion from the European Medicines Agency's expert panel in December, indicating strengthened competitiveness in the weight-loss drug market and laying the groundwork for future promotions in other regions.
- U.S. Approval Process: Wegovy 7.2 mg is already approved in the U.K., and Novo Nordisk is currently submitting a supplemental New Drug Application to the FDA, which, if approved, will further expand its influence in the U.S. market and is expected to drive overall company performance growth.
- Shareholder Return Plan: The Novo Nordisk board proposed a final dividend of DKK 7.95 for 2025 and initiated a DKK 15 billion stock buyback plan, demonstrating the company's confidence in future growth and commitment to shareholders.
See More
Hims & Hers Acquires Eucalyptus to Expand International Presence
- Acquisition Agreement: Hims & Hers has announced a definitive agreement to acquire Eucalyptus for up to $1.15 billion, with $240 million payable in cash at closing, expected to finalize in mid-2026, aimed at enhancing its market presence in Australia, the U.K., and Germany.
- Financial Flexibility Maintained: The transaction will primarily be financed through existing cash and future operating cash flows, ensuring Hims & Hers retains financial flexibility while expanding its international operations, thereby supporting its strategic goal of providing personalized healthcare solutions globally.
- Eucalyptus Financial Performance: Eucalyptus currently boasts an annual revenue run-rate exceeding $450 million and is achieving triple-digit year-over-year growth in 2025, indicating strong market demand and profitability potential, which is expected to significantly boost Hims & Hers' revenue.
- Market Leadership: Hims & Hers anticipates establishing market leadership in Australia through this acquisition and aims to become a leading telehealth provider in the U.K. and Germany within the next two years, further driving its expansion into new markets such as Canada and Japan.
See More
Eli Lilly Surpasses Novo Nordisk as GLP-1 Market Leader
- Market Share Shift: Eli Lilly has captured 60% of the U.S. GLP-1 market, while Novo Nordisk's share has fallen to 39%, indicating Lilly's strong growth momentum in the obesity drug sector, which may impact Novo's future sales performance.
- Significant Revenue Growth: Lilly's Mounjaro and Zepbound generated over $11 billion in revenue in the recent quarter, showcasing triple-digit growth rates that not only enhance the company's overall financial performance but also strengthen its position in a competitive market.
- Manufacturing Capacity Boost: By ramping up production capabilities, Lilly has ensured product availability, addressing shortages from previous years, which has allowed more patients to receive timely treatment and further propelled market share growth.
- Clinical Study Advantage: Lilly's head-to-head study comparing Zepbound to Wegovy demonstrated superior weight loss results for Zepbound, potentially leading doctors and patients to prefer Lilly's products, thereby solidifying its market leadership.
See More
Hims & Hers Shares Surge Following $1.15 Billion Acquisition of Australian Telehealth Company
- Acquisition Announcement: Hims & Hers Health has agreed to acquire Eucalyptus, an Australian digital health company, for $1.15 billion.
- Market Reaction: Following the announcement of the acquisition, shares of Hims & Hers Health experienced a significant increase.
See More
Novo Nordisk's 7.2 mg Weight Loss Drug Approved
- Clinical Trial Results: In the STEP UP study, adults on the 7.2 mg dose lost about 21% of their body weight over 18 months, compared to roughly 2% for the placebo group, demonstrating significant weight loss efficacy and enhancing the drug's market potential.
- Increased Dosage Flexibility: The newly approved 7.2 mg dose allows doctors to prescribe it as three 2.4 mg injections taken together once a week, providing healthcare professionals with greater flexibility to help obesity patients achieve their weight loss and health goals.
- Market Supply Strategy: Novo Nordisk plans to gradually roll out Wegovy pills to prevent shortages and avoid a repeat of the compounding market that emerged during the injectable semaglutide shortage, ensuring full supply in the U.S. before expanding to other regions.
- Legal Action Update: The company recently sued Hims & Hers Health for selling compounded versions of semaglutide, seeking a permanent ban, reflecting Novo Nordisk's proactive stance in protecting its intellectual property.
See More
Viking Therapeutics Targets Weight Loss Drug Market Growth
- Clinical Trial Progress: Viking Therapeutics is advancing its VK2735 candidate in a phase 3 trial for the injectable format while planning to initiate a phase 3 trial for the oral format in Q3 this year, marking a proactive approach in the weight loss drug market that could establish a competitive foundation for future growth.
- Significant Market Potential: Analysts project that the obesity drug market could reach nearly $100 billion by 2030, providing ample growth opportunities for newcomers like Viking, especially as demand for GLP-1 drugs continues to rise.
- Diversified Product Pipeline: Viking plans to file a request to initiate clinical trials for another dual amylin and calcitonin receptor agonist in Q1, demonstrating the company's strategy to diversify its weight loss drug development to cater to various patient needs.
- Investment Risk Consideration: While Viking's candidate shows promising data, investors should cautiously assess risks since the company has no products on the market yet, and uncertainty may persist until clinical trial outcomes are confirmed.
See More
European Commission Approves Novo Nordisk's New Wegovy Dosage
- New Dosage Approval: Novo Nordisk announced that its 7.2 mg weight-loss drug Wegovy has been approved by the European Commission, allowing sales across 27 EU countries as a once-weekly maintenance dose for adults needing additional weight loss, which is expected to significantly enhance market share.
- Market Expansion: The approval follows a positive opinion from the European Medicines Agency's expert panel in December, indicating strengthened competitiveness in the weight-loss drug market and laying the groundwork for future promotions in other regions.
- U.S. Approval Process: Wegovy 7.2 mg is already approved in the U.K., and Novo Nordisk is currently submitting a supplemental New Drug Application to the FDA, which, if approved, will further expand its influence in the U.S. market and is expected to drive overall company performance growth.
- Shareholder Return Plan: The Novo Nordisk board proposed a final dividend of DKK 7.95 for 2025 and initiated a DKK 15 billion stock buyback plan, demonstrating the company's confidence in future growth and commitment to shareholders.
See More
Hims & Hers Acquires Eucalyptus to Expand International Presence
- Acquisition Agreement: Hims & Hers has announced a definitive agreement to acquire Eucalyptus for up to $1.15 billion, with $240 million payable in cash at closing, expected to finalize in mid-2026, aimed at enhancing its market presence in Australia, the U.K., and Germany.
- Financial Flexibility Maintained: The transaction will primarily be financed through existing cash and future operating cash flows, ensuring Hims & Hers retains financial flexibility while expanding its international operations, thereby supporting its strategic goal of providing personalized healthcare solutions globally.
- Eucalyptus Financial Performance: Eucalyptus currently boasts an annual revenue run-rate exceeding $450 million and is achieving triple-digit year-over-year growth in 2025, indicating strong market demand and profitability potential, which is expected to significantly boost Hims & Hers' revenue.
- Market Leadership: Hims & Hers anticipates establishing market leadership in Australia through this acquisition and aims to become a leading telehealth provider in the U.K. and Germany within the next two years, further driving its expansion into new markets such as Canada and Japan.
See More
Eli Lilly Surpasses Novo Nordisk as GLP-1 Market Leader
- Market Share Shift: Eli Lilly has captured 60% of the U.S. GLP-1 market, while Novo Nordisk's share has fallen to 39%, indicating Lilly's strong growth momentum in the obesity drug sector, which may impact Novo's future sales performance.
- Significant Revenue Growth: Lilly's Mounjaro and Zepbound generated over $11 billion in revenue in the recent quarter, showcasing triple-digit growth rates that not only enhance the company's overall financial performance but also strengthen its position in a competitive market.
- Manufacturing Capacity Boost: By ramping up production capabilities, Lilly has ensured product availability, addressing shortages from previous years, which has allowed more patients to receive timely treatment and further propelled market share growth.
- Clinical Study Advantage: Lilly's head-to-head study comparing Zepbound to Wegovy demonstrated superior weight loss results for Zepbound, potentially leading doctors and patients to prefer Lilly's products, thereby solidifying its market leadership.
See More
Hims & Hers Shares Surge Following $1.15 Billion Acquisition of Australian Telehealth Company
- Acquisition Announcement: Hims & Hers Health has agreed to acquire Eucalyptus, an Australian digital health company, for $1.15 billion.
- Market Reaction: Following the announcement of the acquisition, shares of Hims & Hers Health experienced a significant increase.
See More
Novo Nordisk's 7.2 mg Weight Loss Drug Approved
- Clinical Trial Results: In the STEP UP study, adults on the 7.2 mg dose lost about 21% of their body weight over 18 months, compared to roughly 2% for the placebo group, demonstrating significant weight loss efficacy and enhancing the drug's market potential.
- Increased Dosage Flexibility: The newly approved 7.2 mg dose allows doctors to prescribe it as three 2.4 mg injections taken together once a week, providing healthcare professionals with greater flexibility to help obesity patients achieve their weight loss and health goals.
- Market Supply Strategy: Novo Nordisk plans to gradually roll out Wegovy pills to prevent shortages and avoid a repeat of the compounding market that emerged during the injectable semaglutide shortage, ensuring full supply in the U.S. before expanding to other regions.
- Legal Action Update: The company recently sued Hims & Hers Health for selling compounded versions of semaglutide, seeking a permanent ban, reflecting Novo Nordisk's proactive stance in protecting its intellectual property.
See More
Viking Therapeutics Targets Weight Loss Drug Market Growth
- Clinical Trial Progress: Viking Therapeutics is advancing its VK2735 candidate in a phase 3 trial for the injectable format while planning to initiate a phase 3 trial for the oral format in Q3 this year, marking a proactive approach in the weight loss drug market that could establish a competitive foundation for future growth.
- Significant Market Potential: Analysts project that the obesity drug market could reach nearly $100 billion by 2030, providing ample growth opportunities for newcomers like Viking, especially as demand for GLP-1 drugs continues to rise.
- Diversified Product Pipeline: Viking plans to file a request to initiate clinical trials for another dual amylin and calcitonin receptor agonist in Q1, demonstrating the company's strategy to diversify its weight loss drug development to cater to various patient needs.
- Investment Risk Consideration: While Viking's candidate shows promising data, investors should cautiously assess risks since the company has no products on the market yet, and uncertainty may persist until clinical trial outcomes are confirmed.
See More
