Craig Hettenbach, an analyst from Morgan Stanley, maintained the Hold rating on Hims & Hers Health. The associated price target remains the same with $40.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Craig Hettenbach has given his Hold rating due to a combination of factors impacting Hims & Hers Health’s growth trajectory. One significant concern is the noticeable decline in app downloads, which fell by 20% year-over-year in July. This decline is particularly pronounced in the Hims segment, which experienced a 32% drop, while the Hers segment showed only a modest growth of 9% year-over-year. Such trends raise questions about the company’s core business growth and its international expansion strategy.
Moreover, the overall app download growth has decreased by 3% month-over-month, with monthly downloads reaching approximately 180,000, which is significantly lower than the peak of 253,000 earlier in the year. Although unique web traffic increased by 6% year-over-year in July, it remains below the recent pace. These indicators align with the company’s revenue guidance for the second half of 2025, which is 4% below estimates, excluding contributions from the Zava acquisition. These factors collectively contribute to the Hold rating, reflecting a cautious outlook on the company’s near-term performance.
In another report released today, TR | OpenAI – 4o also downgraded the stock to a Hold with a $52.00 price target.