In a surprising reversal of fortune, Hims & Hers Health Inc. (NYSE: HIMS) shares surged 40.79% on Monday, ending at $22.16. The news of a
Written by:
Arslan Butt
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Tuesday, March 10, 2026
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2 min read
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Last updated: Tuesday, March 10, 2026
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Quick overview
Hims & Hers Health Inc. shares surged 40.79% to $22.16 following a distribution agreement with Novo Nordisk.The deal resolves a legal dispute over ‘copycat’ pills and allows Hims & Hers to sell popular weight-loss medications.Customers will now have access to FDA-approved products like Ozempic and Wegovy, shifting the company’s focus from compounded pharmaceuticals.Analysts have raised target prices for Hims & Hers, with predictions suggesting potential growth to $30 if the transition to branded medications is successful.
In a surprising reversal of fortune, Hims & Hers Health Inc. (NYSE: HIMS) shares surged 40.79% on Monday, ending at $22.16. The news of a historic distribution agreement with the massive Danish pharmaceutical company Novo Nordisk (NVO) sparked the rise. In addition to putting an end to a contentious legal dispute over “copycat” pills, the deal turns the telehealth platform into a top online retailer of the most popular weight-loss medications in the world.
Why did Him & Hers stock surge over 40% on Monday?
From Knockoffs to Partners: The Settlement
The agreement puts an end to a high-stakes dispute. In a previous lawsuit, Novo Nordisk accused Hims & Hers’ compounded GLP-1 products of being “unapproved, inauthentic, and untested knockoffs.” Included in the recent settlement:
Novo Nordisk is no longer suing Hims & Hers for patent infringement.
All marketing and promotion of compounded (off-brand) GLP-1 formulations will be discontinued by Hims & Hers.
When clinically necessary, current Hims platform users will switch to FDA-approved medications. “Our goal is simple: ensure every patient who can benefit from our medicines has the opportunity to access them wherever they choose to receive care,” stated Novo Nordisk President and CEO Mike Doustdar.
A Weighty Product Expansion
Customers of Hims & Hers now have access to Novo Nordisk’s wildly popular semaglutide line thanks to the agreement. Soon, the platform will disseminate:
Ozempic: Semaglutide injectable (mostly for Type 2 diabetes).
Wegovy Injectables: FDA-approved high-dose semaglutide for long-term weight control.
Wegovy Pill: The oral form of the drug used to lose weight.
The company’s risk profile has been significantly changed by this transition from higher-margin but legally dangerous compounded pharmaceuticals to branded, FDA-approved medications. In response, 168.1 million shares were traded on Monday, a startling 557% increase above the three-month average.
HIMS Stock Technical Analysis and Market Reaction
HIMS is still 62% below its 52-week high despite the one-day 41% increase, indicating considerable potential for recovery now that its principal regulatory and legal obstacle has been eliminated.
Valuation: The stock is now trading at a reasonable 20 times forward earnings, which experts consider to be a desirable starting place for a telehealth growth business.
Sector Outperformance: Hims’ 41% rise outpaced rivals like American Well (+1.65%) and Teladoc Health (+4.33%), demonstrating the special significance of the Novo Nordisk seal of approval.
Hims & Hers (HIMS) Price Prediction: Is $30 the Next Stop?
Following the revelation, Wall Street analysts were eager to reassess the company’s trajectory:
Needham increased the target price to $30.
Citi raised their goal to $24.
The $30 goal implies a potential 35% increase from current levels if Hims & Hers is able to successfully switch its large user base from compounded pharmaceuticals to branded Novo Nordisk medications without experiencing considerable churn. However, in the upcoming quarters, investors should keep an eye on whether the switch to branded medications, which frequently provide distributors lower margins than compounded versions, affects bottom-line growth.
Arslan Butt
Lead Markets Analyst – Multi-Asset (FX, Commodities, Crypto)
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.
His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.
His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.