Ryan MacDonald, an analyst from Needham, reiterated the Buy rating on Hims & Hers Health (HIMS – Research Report). The associated price target was raised to $61.00.
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Ryan MacDonald has given his Buy rating due to a combination of factors including Hims & Hers Health’s impressive performance in the first quarter, which was largely driven by their weight loss segment. Despite the company’s second-quarter revenue guidance being below consensus expectations due to the transition of compound GLP-1 customers, MacDonald sees this as a buying opportunity.
He believes that the company’s expanding portfolio in weight loss offerings will enhance subscriber retention and growth. Additionally, upcoming category launches in the second half of 2025 are expected to contribute significantly to achieving a new revenue target of $6.5 billion by 2030. Importantly, these growth initiatives are not expected to compromise margin expansion, as the company maintains its 20% margin expectation for 2030.
Based on the recent corporate insider activity of 245 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.