Hims Rockets on New Launch, Steers Clear of Obesity Market
Hims & Hers Health, a prominent telehealth company, is expanding its services with the introduction of a menopause care program. This strategic move follows its recent launch of a testosterone replacement therapy, signaling a shift in focus from primarily weight loss treatments.
Hims Stock Performance and Market Outlook
On Wednesday, Hims stock saw a significant increase of 7.1%, reaching $57.87. The stock is approaching a key buy point of $60.55, based on a cup-with-handle pattern identified through MarketSurge’s chart analysis. Currently, Hims holds the 17th position on the IBD 50 list of top growth stocks.
Anticipated Revenue Growth
Analyst Michael Cherny from Leerink Partners remarks that expanding into menopause care is a logical progression for the Hers brand. He projects that this initiative could boost Hers revenues to exceed $1 billion by 2026. Currently, Hims & Hers boasts more than half a million subscribers under the Hers brand.
Diverse Treatment Offerings
Hims & Hers is recognized for its innovative weight loss solutions, which include compounded semaglutide and the branded treatment Zepbound, the latter being associated with Eli Lilly’s obesity treatment. With the new menopause care program, the company plans to offer personalized treatment plans for women experiencing perimenopause and menopause. These treatments will include options like:
- Estradiol pills
- Progesterone pills
- Patches
- Topical creams
Competitive Landscape in Menopause Care
Despite the potential for growth, Cherny points out that the menopause market is highly competitive. Factors such as personalization, cost, and insurance coverage will play crucial roles in the adoption and success of these new offerings.
As Hims & Hers diversifies its portfolio beyond weight loss, the company’s ability to adapt will be critical for its continued growth and market presence.
