Hims & Hers Soars 57% Weekly After Novo Pact to Sell Ozempic, Wegovy
Shares of Hims & Hers Health Inc. surged 57% in a single week after the company struck a deal with Novo Nordisk to sell Ozempic and Wegovy and secured a lawsuit withdrawal. The pact resolves prior legal disputes over compounded weight-loss drugs and positions Hims for renewed growth.
1. Partnership Details
Hims & Hers Health Inc. agreed to integrate blockbusters Ozempic and Wegovy onto its telehealth platform under a new pact with Novo Nordisk. As part of the agreement, Novo withdrew its lawsuit and Hims will cease advertising compounded versions of its weight-loss drugs.
2. Stock Performance
Following the announcement, Hims shares climbed roughly 57% over the week, marking the highest weekly gain in the company’s history, with rallies in four of the five trading sessions.
3. Legal Dispute Background
The new pact resolves a feud that began when Novo accused Hims of deceptive marketing and sued over a copycat Wegovy pill after the initial partnership ended in June. Earlier regulatory threats forced Hims to pull its compounded version, contributing to a 46% drop in share price in February and a $3.8 billion market value loss this year.
4. Analyst Outlook
Needham & Co. analyst Ryan MacDonald upgraded Hims from hold to buy, citing that the renewed partnership alleviates near-term legal risks and charts a clear path for long-term growth in the weight-loss segment.