Hims & Hers Health, Inc. (HIMS)

Price$28.77Cached quoteAs of 2026-10-08 14:10 UTC

AI: Fair-priced

Price checkThe market still assumes strong profit improvement, but growth keeps the valuation from looking clearly extreme.

At the observed market price, roughly 233.3 million shares imply an equity value near $6.7 billion; adding about $755 million of net debt gives an enterprise value near $7.5 billion. Against management’s 2026 midpoint of $3.2 billion revenue and $300 million adjusted EBITDA—profit before interest, taxes, depreciation, amortization and several excluded costs—that is about 2.3 times sales and 25 times adjusted profit. First-half free cash flow was negative $15 million, but 38% second-quarter revenue growth prevents a clear overvaluation conclusion.

Big pictureGrowth remains exceptional, but acquisitions have turned a cash-rich company into a leveraged one.

Revenue rose from $1.48 billion in 2024 to $2.35 billion in 2025, while 2025 net income reached $128 million and operating cash flow $300 million. The balance sheet then changed sharply: by June 2026, cash was $610 million against $1.37 billion of debt, or about $755 million net debt. Eucalyptus added $683.9 million of deferred payments and helped create a $98.6 million working-capital deficit. Hims still reported $841 million of liquidity, but acquisitions have materially reduced its former balance-sheet cushion.

Business strengthDemand is rising fast, while each new dollar of sales is producing less profit.

Second-quarter revenue rose 38% to $753 million and subscribers reached nearly 2.9 million, up 19%. However, gross margin fell to 64% from 76%, while a $42.5 million quarterly profit became an $86.3 million loss. The shift toward branded weight-loss drugs raised product costs, so rapid growth currently converts poorly into earnings and cash. Recurring subscriptions make revenue more repeatable than one-off retail sales, but customers paying directly can still cut spending or cancel when affordability or service problems worsen.

What could change the storyMargin recovery could justify the price; dilution or weaker retention would make it look expensive.

Management’s 2030 target of $6.5 billion revenue and $1.3 billion adjusted EBITDA would make today’s enterprise value look modest if achieved, implying roughly a 20% adjusted margin versus 8% in first-half 2026. The strongest confirmation would be gross margin recovering toward 70% and sustained positive free cash flow. Capital allocation is mixed: first-half stock compensation was about $79 million, no shares were repurchased, and Eucalyptus obligations can be settled partly in stock under a 19.9% issuance cap. Persistent dilution or weaker retention would undermine the valuation.

AI: News

FTC consumer lawsuitRegulators sued over privacy, billing, and cancellation practices, raising legal costs and customer-trust risk.

On July 29, the Federal Trade Commission, Utah and Los Angeles County sued Hims, alleging sensitive health information was shared with advertising platforms and that billing and cancellation practices misled consumers. Reuters reported the shares dropped about 12% following the announcement. The case remains pending. The larger value risk is not merely a fine: required changes to enrollment, marketing or cancellation practices could raise customer-acquisition costs, reduce retention, and weaken economics in a subscription business.

Growth with weaker marginsSales surged and guidance rose, but losses and lower margins showed growth is currently expensive.

On August 10, Hims reported $753 million of second-quarter revenue, up 38%, and raised full-year revenue guidance to $3.1 billion–$3.3 billion. Yet gross margin fell to 64% from 76%, and the company lost $86.3 million versus earning $42.5 million a year earlier. Reuters reported shares fell about 6% in extended trading. The key mechanism was the shift toward branded obesity drugs and international expansion, which boosted demand but increased costs and delayed stronger profitability.

Visa dispute monitoringVisa monitoring tied to customer disputes added a new warning sign around billing quality and retention.

A report published August 21 said Visa placed Hims in its monitoring program after weight-loss subscription card disputes exceeded acceptable levels in July. The reported September surcharge was only about $75,000, but Hims reportedly must keep disputes below 1.5% of transactions for three consecutive months to exit. Shares fell roughly 8% on August 24, although other analyst actions also contributed. The important risk is whether elevated chargebacks reveal broader cancellation friction that could hurt retention, payment costs or customer trust.

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Revenue

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2025

Net income

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Free cash flow

2019

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Total cash / debt

CashTotal debt

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Financial statements

	2025	2024	2023	2022	2021	2020	2019
Revenue	$2.35B	$1.48B	$872.0M	$526.9M	$271.9M	$148.8M	$82.6M
Gross profit	$1.73B	$1.17B	$714.9M	$408.7M	$204.5M	$109.5M	$44.6M
Gross margin	73.84%	79.45%	81.99%	77.57%	75.22%	73.58%	54.03%
Research & development	$149.3M	$78.8M	$48.2M	$29.2M	—	—	—
Operating expenses	$1.63B	$1.11B	$744.4M	$477.4M	$319.5M	$124.6M	$119.0M
Operating income	$105.6M	$61.9M	−$29.5M	−$68.7M	−$115.0M	−$15.1M	−$74.4M
Operating margin	4.50%	4.19%	−3.38%	−13.04%	−42.31%	−10.18%	−90.14%
EBITDA	$160.1M	$79.0M	−$19.9M	−$61.2M	−$111.0M	−$14.1M	−$74.2M
EBITDA margin	6.82%	5.35%	−2.29%	−11.62%	−40.81%	−9.47%	−89.82%
Net income	$128.4M	$126.0M	−$23.5M	−$65.7M	−$107.7M	−$18.1M	−$72.1M
Net profit margin	5.47%	8.54%	−2.70%	−12.46%	−39.60%	−12.18%	−87.29%
Basic EPSper basic share	$0.57	$0.58	-$0.11	-$0.32	-$0.58	-$0.51	-$2.07
Diluted EPSper diluted share	$0.51	$0.53	-$0.11	-$0.32	-$0.58	-$0.51	-$2.07

Review official source filings ↗

Owners

Reported shareholders

Reference date Jun 30, 2026

12.76%of listed shares

BlackRock, Inc.28.7M shares · Jun 30, 2026

View holders

Top 20 reported holders of HIMS
Holder	% owned
BlackRock, Inc.	12.76%28.7M shares
VANGUARD PORTFOLIO MANAGEMENT LLC	4.69%10.56M shares
Dudum Andrew	≈4.27%9.6M shares
VANGUARD CAPITAL MANAGEMENT LLC	4.24%9.54M shares
STATE STREET CORP	3.62%8.15M shares
MORGAN STANLEY	3.18%7.15M shares
Divisadero Street Capital Management, LP	2.67%6.01M shares
GEODE CAPITAL MANAGEMENT, LLC	2.53%5.68M shares
GOLDMAN SACHS GROUP INC	2.30%5.17M shares
JPMORGAN CHASE & CO	2.12%4.77M shares
FMR LLC	1.92%4.32M shares
MARSHALL WACE, LLP	1.88%4.22M shares
UBS Group AG	1.18%2.66M shares
NORTHERN TRUST CORP	1.15%2.59M shares
CHARLES SCHWAB INVESTMENT MANAGEMENT INC	1.09%2.45M shares
STATE OF MICHIGAN RETIREMENT SYSTEM	1.04%2.35M shares
BANK OF AMERICA CORP /DE/	1.03%2.31M shares
PRINCIPAL FINANCIAL GROUP INC	0.74%1.67M shares
VANGUARD FIDUCIARY TRUST CO	0.68%1.52M shares
Bank of New York Mellon Corp	0.59%1.33M shares

Percentages use 224.92M shares of this listed class outstanding on Jun 30, 2026. ≈ compares the latest reported holding with a share total from a different date; it is not a confirmed current stake.

Gray completes the 100% scale. Reported positions may overlap; holders have different reporting dates.

Source: SEC Form 13F ↗Updated Sep 29, 2026 · Quarterly data

Insider buys & sells

Jul 1, 2024–Jun 30, 2026

Buys3$1.31M disclosed value

Sells (SEC code S)352$278.69M disclosed value

Transaction	Insider	Type	Shares	Price	Value	Owned after
Jun 22, 2026Form 4 · 10b5-1	Okupe OluyemiChief Financial Officer	SellClass A Common Stock	18.2K	$34.03	$619.2K	284.3K
Jun 18, 2026Form 4 · 10b5-1	Carroll Patrick HarrisonChief Medical Officer	SellClass A Common Stock	23.7K	$35.00	$830.4K	181.9K
Jun 17, 2026Form 4 · 10b5-1	Chi MichaelChief Operating Officer	SellClass A Common Stock	14.0K	$31.50	$441.9K	432.1K
Jun 17, 2026Form 4 · 10b5-1	Becklund IrenePAO	SellClass A Common Stock	4.5K	$31.50	$141.4K	6.8K
Jun 17, 2026Form 4 · 10b5-1	Elshenawy MohamedCTO	SellClass A Common Stock	30.0K	$31.50	$946.3K	101.0K