Hims & Hers Shares Drop 75.5% After Lawsuit, Analysts See 150% Upside
Shares of Hims & Hers Health have plunged 75.5% from the May 16 peak of $64.65 and 48% in the past month after Novo Nordisk sued over unapproved semaglutide compounds, seeking a ban and damages. Analysts expect record Q4 revenue of $619 million, 82% annual growth and 150% upside to a $39.32 target.
1. Stock Performance and Sell-Off
Since peaking at $64.65 on May 16, 2025, shares of Hims & Hers Health have fallen 75.5%, including a 48% slide in the past month, pushing its one-year RSI to 16.87 and short interest to 40.98% ($2.08 billion). Institutional buyers (405) outnumber sellers (215), indicating potential support.
2. Novo Nordisk Lawsuit Details
On February 9, Novo Nordisk sued Hims & Hers, accusing it of illegally marketing unapproved compounded semaglutide injections and requesting a permanent sales ban and damages, intensifying investor concerns over patent infringement and regulatory risk.
3. Analyst Forecasts and Targets
Analysts predict Q4 revenue of $619 million (a record), EPS returning to green, and 82% annual revenue growth, while the average 12-month price target of $39.32 implies roughly 150% upside despite a consensus Hold rating from 17 analysts.
4. Growth Metrics and Market Potential
Hims & Hers Health operates in high-growth segments: telehealth (2024 market $123 billion, 24.7% CAGR to 2030), hair thinning (10.85% CAGR to $2.75 billion by 2030) and online sexual wellness supplements (11.94% CAGR through 2030), supporting long-term demand.