Hims & Hers Reports Weak Q1 Results Amid Strategic Shift
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 37 minutes ago
0mins
Should l Buy HIMS?
Source: stocktwits
- Weak Performance Reasons: Hims & Hers reported Q1 revenue of $608.1 million, a 4% increase year-over-year, but fell short of analyst expectations of $616.85 million, resulting in a 13% drop in after-hours trading.
- Strategic Shift Impact: The company's pivot towards branded GLP-1 drugs incurred approximately $33.5 million in restructuring charges and a $15 million legal settlement, indicating financial strain during the initial phase of the new strategy implementation.
- Future Outlook Improvement: Despite the weak Q1 results, Hims & Hers raised its full-year 2026 revenue guidance to between $2.8 billion and $3.0 billion, with adjusted core profit expected to be between $275 million and $350 million, reflecting confidence in future growth.
- User Growth and Market Reaction: Despite challenges, Hims & Hers saw subscriber growth reach 2.6 million, a 9% year-over-year increase, while retail sentiment on Stocktwits shifted from 'bearish' to 'extremely bullish', indicating market interest in the company's strategic transformation.
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Analyst Views on HIMS
Wall Street analysts forecast HIMS stock price to rise
12 Analyst Rating
3 Buy
6 Hold
3 Sell
Hold
Current: 28.270
Low
16.50
Averages
32.95
High
60.00
Current: 28.270
Low
16.50
Averages
32.95
High
60.00
About HIMS
Hims & Hers Health, Inc. provides a consumer-first platform, which helps customers to fulfill their health and wellness needs. Its platform includes access to a provider network, a clinically focused electronic medical record system, digital prescriptions, cloud pharmacy fulfillment, and personalization capabilities. Its digital platform enables access to treatments for a range of chronic conditions, including those related to sexual health, hair loss, dermatology, mental health, and weight loss. It connects patients to licensed healthcare professionals who can prescribe medications when appropriate and prescriptions are fulfilled online through licensed pharmacies on a subscription basis. It also offers access to a range of health and wellness products designed to meet individual needs, which can include curated prescription and non-prescription products. Through its mobile applications, consumers can access a range of educational programs, wellness content, and other services.
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.
Hims & Hers Health Q1 Results Miss Expectations, Shares Drop
- Disappointing Earnings: Hims & Hers Health reported a GAAP EPS of -$0.40 for Q1, a significant drop from $0.20 in the same period last year, leading to an approximately 11% decline in after-hours trading as investors reacted to the disappointing results.
- Weak Revenue Growth: The company generated $608.1M in revenue for Q1, only about 4% higher than Q1 2025, with an 8% year-over-year decline in revenue from its largest market, the US, indicating increased competitive pressure that could impact future market share.
- Subscriber Growth vs. Revenue Decline: While subscribers increased by 9% year-over-year to approximately 2.6 million, the monthly revenue per average subscriber fell by 6% to $80, highlighting challenges in enhancing user value and revenue, which may affect long-term profitability.
- Cautious Future Outlook: The company projects full-year revenue between $2.8B and $3B, with Q2 revenue guidance of $680M to $700M; despite management raising expectations, analysts express concerns over the dual misses in earnings and revenue, emphasizing the company's reliance on the weight-loss market.
See More
Hims & Hers Reports Weak Q1 Results Amid Strategic Shift
- Weak Performance Reasons: Hims & Hers reported Q1 revenue of $608.1 million, a 4% increase year-over-year, but fell short of analyst expectations of $616.85 million, resulting in a 13% drop in after-hours trading.
- Strategic Shift Impact: The company's pivot towards branded GLP-1 drugs incurred approximately $33.5 million in restructuring charges and a $15 million legal settlement, indicating financial strain during the initial phase of the new strategy implementation.
- Future Outlook Improvement: Despite the weak Q1 results, Hims & Hers raised its full-year 2026 revenue guidance to between $2.8 billion and $3.0 billion, with adjusted core profit expected to be between $275 million and $350 million, reflecting confidence in future growth.
- User Growth and Market Reaction: Despite challenges, Hims & Hers saw subscriber growth reach 2.6 million, a 9% year-over-year increase, while retail sentiment on Stocktwits shifted from 'bearish' to 'extremely bullish', indicating market interest in the company's strategic transformation.
See More
Hims HIMS Q1 2026 Earnings Call Transcript
See More
Hims & Hers Health Adjusts EBITDA Guidance, Shares Drop
- Hims & Hers Guidance Cut: Hims & Hers Health has guided for adjusted EBITDA between $35 million and $55 million for the current quarter, significantly below analysts' expectations of $70 million, resulting in a more than 6% drop in shares, indicating market concerns over its profitability.
- Aecom Earnings Guidance Raised: Aecom raised its full-year adjusted earnings guidance to between $5.90 and $6.10 per share, exceeding previous estimates of $5.85 to $6.05, leading to a 2% increase in stock price, reflecting strong performance in the infrastructure consulting sector.
- Webtoon Revenue Miss: Webtoon Entertainment projected second-quarter revenue between $332 million and $342 million, falling short of the $348 million expected by analysts, causing a 15% drop in shares, which reflects market disappointment regarding its growth outlook.
- Gitlab Restructuring Plan Announced: Gitlab CEO Bill Staples outlined a broad restructuring plan involving workforce reductions and management cuts, resulting in an 8% decline in shares during after-hours trading, signaling market apprehension about the company's strategic shift towards agentic AI.
See More
Hims & Hers Raises 2026 Revenue Forecast Amid Sales Growth
- Revenue Forecast Increase: Hims & Hers raised its 2026 revenue forecast to between $2.8 billion and $3 billion, up from the previous estimate of $2.7 billion to $2.9 billion, indicating strong confidence in the growth of its personalized healthcare offerings, which is expected to drive future performance.
- Partnership Restructuring: The company has partnered with Novo Nordisk to offer the weight-loss drug Wegovy on its platform, resolving a legal dispute that followed Hims' launch of a low-cost compounded alternative, which has since been discontinued, thereby restoring market trust and potentially enhancing product diversity and competitiveness.
- Quarterly Revenue Outlook: Hims expects second-quarter revenue to range from $680 million to $700 million, exceeding analysts' average estimate of $642.95 million, demonstrating strong demand and adaptability in the personalized healthcare sector.
- Stock Price Fluctuation: Despite the optimistic outlook, Hims' shares fell 6% to $27.20 in after-market trading, reflecting market concerns over short-term volatility, which may impact investor confidence.
See More
Markets Hit New Highs as Tech Stocks Surge
- Tech Stocks Surge: Stocks like Lumentum, Coherent, Corning, Western Digital, Micron, Seagate, Qualcomm, and Qnity Electronics have all risen over 5%, indicating strong market confidence in the tech sector, which may drive overall market gains further.
- Energy Stocks Rise: Energy stocks increased alongside oil prices after President Trump indicated challenges to the Iran ceasefire, reflecting market sensitivity to energy price fluctuations that could impact consumer spending and overall economic growth.
- Consumer Confidence Dips: Consumer-related stocks, including TJX Companies and Nike, faced declines, highlighting investor anxiety over the potential economic pressures from rising energy prices, which could dampen consumer spending.
- CPI Report Expectations: The upcoming Consumer Price Index report is expected to show a significant month-over-month increase, with economists predicting a 0.59% rise from March, which may prompt government actions to alleviate economic burdens on consumers, further influencing market sentiment.
See More
Hims & Hers Health Q1 Results Miss Expectations, Shares Drop
- Disappointing Earnings: Hims & Hers Health reported a GAAP EPS of -$0.40 for Q1, a significant drop from $0.20 in the same period last year, leading to an approximately 11% decline in after-hours trading as investors reacted to the disappointing results.
- Weak Revenue Growth: The company generated $608.1M in revenue for Q1, only about 4% higher than Q1 2025, with an 8% year-over-year decline in revenue from its largest market, the US, indicating increased competitive pressure that could impact future market share.
- Subscriber Growth vs. Revenue Decline: While subscribers increased by 9% year-over-year to approximately 2.6 million, the monthly revenue per average subscriber fell by 6% to $80, highlighting challenges in enhancing user value and revenue, which may affect long-term profitability.
- Cautious Future Outlook: The company projects full-year revenue between $2.8B and $3B, with Q2 revenue guidance of $680M to $700M; despite management raising expectations, analysts express concerns over the dual misses in earnings and revenue, emphasizing the company's reliance on the weight-loss market.
See More
Hims & Hers Reports Weak Q1 Results Amid Strategic Shift
- Weak Performance Reasons: Hims & Hers reported Q1 revenue of $608.1 million, a 4% increase year-over-year, but fell short of analyst expectations of $616.85 million, resulting in a 13% drop in after-hours trading.
- Strategic Shift Impact: The company's pivot towards branded GLP-1 drugs incurred approximately $33.5 million in restructuring charges and a $15 million legal settlement, indicating financial strain during the initial phase of the new strategy implementation.
- Future Outlook Improvement: Despite the weak Q1 results, Hims & Hers raised its full-year 2026 revenue guidance to between $2.8 billion and $3.0 billion, with adjusted core profit expected to be between $275 million and $350 million, reflecting confidence in future growth.
- User Growth and Market Reaction: Despite challenges, Hims & Hers saw subscriber growth reach 2.6 million, a 9% year-over-year increase, while retail sentiment on Stocktwits shifted from 'bearish' to 'extremely bullish', indicating market interest in the company's strategic transformation.
See More
Hims HIMS Q1 2026 Earnings Call Transcript
See More
Hims & Hers Health Adjusts EBITDA Guidance, Shares Drop
- Hims & Hers Guidance Cut: Hims & Hers Health has guided for adjusted EBITDA between $35 million and $55 million for the current quarter, significantly below analysts' expectations of $70 million, resulting in a more than 6% drop in shares, indicating market concerns over its profitability.
- Aecom Earnings Guidance Raised: Aecom raised its full-year adjusted earnings guidance to between $5.90 and $6.10 per share, exceeding previous estimates of $5.85 to $6.05, leading to a 2% increase in stock price, reflecting strong performance in the infrastructure consulting sector.
- Webtoon Revenue Miss: Webtoon Entertainment projected second-quarter revenue between $332 million and $342 million, falling short of the $348 million expected by analysts, causing a 15% drop in shares, which reflects market disappointment regarding its growth outlook.
- Gitlab Restructuring Plan Announced: Gitlab CEO Bill Staples outlined a broad restructuring plan involving workforce reductions and management cuts, resulting in an 8% decline in shares during after-hours trading, signaling market apprehension about the company's strategic shift towards agentic AI.
See More
Hims & Hers Raises 2026 Revenue Forecast Amid Sales Growth
- Revenue Forecast Increase: Hims & Hers raised its 2026 revenue forecast to between $2.8 billion and $3 billion, up from the previous estimate of $2.7 billion to $2.9 billion, indicating strong confidence in the growth of its personalized healthcare offerings, which is expected to drive future performance.
- Partnership Restructuring: The company has partnered with Novo Nordisk to offer the weight-loss drug Wegovy on its platform, resolving a legal dispute that followed Hims' launch of a low-cost compounded alternative, which has since been discontinued, thereby restoring market trust and potentially enhancing product diversity and competitiveness.
- Quarterly Revenue Outlook: Hims expects second-quarter revenue to range from $680 million to $700 million, exceeding analysts' average estimate of $642.95 million, demonstrating strong demand and adaptability in the personalized healthcare sector.
- Stock Price Fluctuation: Despite the optimistic outlook, Hims' shares fell 6% to $27.20 in after-market trading, reflecting market concerns over short-term volatility, which may impact investor confidence.
See More
Markets Hit New Highs as Tech Stocks Surge
- Tech Stocks Surge: Stocks like Lumentum, Coherent, Corning, Western Digital, Micron, Seagate, Qualcomm, and Qnity Electronics have all risen over 5%, indicating strong market confidence in the tech sector, which may drive overall market gains further.
- Energy Stocks Rise: Energy stocks increased alongside oil prices after President Trump indicated challenges to the Iran ceasefire, reflecting market sensitivity to energy price fluctuations that could impact consumer spending and overall economic growth.
- Consumer Confidence Dips: Consumer-related stocks, including TJX Companies and Nike, faced declines, highlighting investor anxiety over the potential economic pressures from rising energy prices, which could dampen consumer spending.
- CPI Report Expectations: The upcoming Consumer Price Index report is expected to show a significant month-over-month increase, with economists predicting a 0.59% rise from March, which may prompt government actions to alleviate economic burdens on consumers, further influencing market sentiment.
See More
