Barclays sees Hims sales growth amid near-term profit pressure
HIMS•Barclays sees revenue growth but margin pressure
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Shares of telehealth company Hims & Hers Health HIMS.N rise 4% to $32.35 in early trading
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Barclays says it expects higher revenues at HIMS, driven by acquisitions and impressive growth in new categories
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It sees, however, "some margin pressure from investments to support growth" that could weigh on near-term profitability
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The brokerage cuts PT on the stock to $35 from $39; maintains "overweight" rating
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The new PT represents a 12% upside to the stock's last close
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Earlier this month, HIMS topped Q2 revenue expectations while facing increasing costs from its aggressive push into branded GLP-1 weight-loss drugs and international expansion
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Four of 16 brokerages rate the stock "buy" or higher and 12 "hold"; their median PT is $30.5 - data compiled by LSEG
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Up to the last close, the stock was down 4.3% YTD
