Here's Why Hims & Hers Stock Is Still A Buy After The Recent Rally

Hims & Hers ($HIMS) pulled off something many had written off just months ago. After a brutal 60% stock correction from its February highs—brought on largely by the FDA’s clampdown on compounded GLP-1 sales—the company rebounded with one of the most surprising earnings beats this quarter. Not only did Hims exceed Wall Street’s revenue and earnings estimates, but it also restored full-year guidance and grew its subscriber base to record levels. Wall Street reacted by sending $HIMS shares up nearly 20%.

From where the stock stood in March, it looked like Hims might be headed for a slow bleed. Instead, this week’s Q1 FY2025 results show a company that is still very much in the fight—and perhaps stronger than ever. The recovery was made possible not just by excellent operational execution, but also by a key partnership announcement with Novo Nordisk ($NVO) that allows Hims to offer branded GLP-1 products at highly competitive price points. While the stock soared dramatically in recent weeks, the company still remains attractively valued given the underlying performance and future growth prospects. Let’s take a deeper dive.

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