Buy Rating Affirmed for Hims & Hers Health Amidst Strong Quarterly Performance and Positive Outlook

In a report released today, Maria Ripps from Canaccord Genuity maintained a Buy rating on Hims & Hers Health (HIMS – Research Report), with a price target of $20.00.

Maria Ripps has given her Buy rating due to a combination of factors including strong quarterly performance and an optimistic forward outlook for Hims & Hers Health. The company surpassed expectations in terms of subscriber growth, revenue, and profitability. With an increase in consumers choosing personalized products and ongoing investments in Affiliated Pharmacies, Hims & Hers is expected to introduce new solutions soon, further driving growth. The company’s strategy has also resulted in improved marketing efficiency, with the Q2 outlook and updated full-year guidance for revenue and profitability being raised, indicating a positive trajectory for the company.

Ripps also acknowledges the company’s effective capital management, evidenced by its free cash flow generation and stock repurchase activities. The ongoing investments in Affiliated Pharmacies are seen as a long-term commitment to enhancing market penetration and product offerings. The raised guidance for the rest of the fiscal year suggests management’s confidence in the company’s continued momentum, particularly with the rollout of new products. These factors, along with the conservative nature of the company’s guidance and the potential for upward estimate revisions, support the view that Hims & Hers Health is becoming a staple investment in the tech-enabled personal health space.

In another report released yesterday, Citi also maintained a Buy rating on the stock with a $16.00 price target.

Based on the recent corporate insider activity of 121 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of HIMS in relation to earlier this year.

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Hims & Hers Health (HIMS) Company Description:

Oaktree Acquisition Corp. is an emerging growth company, which engages in the provision of merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses. The company was founded by Patrick McCaney, Alexander Taubman and Mathew Pendo in 2019 and is headquartered in Los Angeles, CA.