• Hims & Hers Health is facing a securities class action lawsuit following the past termination of its partnership with Novo Nordisk, amid allegations related to the promotion of unauthorized versions of weight-loss drug Wegovy® and increased regulatory scrutiny over its business practices.

  • This development has raised significant concerns among investors regarding the company’s transparency, regulatory compliance, and long-term reputation in the rapidly evolving telehealth and pharmaceutical sector.

  • We’ll now examine how the end of the Novo Nordisk collaboration may alter Hims & Hers Health’s investment narrative and growth outlook.

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To be a shareholder in Hims & Hers Health, an investor must believe in the company’s ability to lead consumer telehealth through rapid category expansion, digital platform strength, and a subscription-driven model focused on retention and user experience. The recent class action lawsuit and partnership termination with Novo Nordisk now put heightened scrutiny on regulatory compliance and transparency, raising questions about the sustainability of growth in high-profile areas such as GLP-1 weight loss, currently both the biggest catalyst and short-term risk for the business.

Of particular relevance is the June 23rd announcement of the Novo Nordisk collaboration ending over allegations of promoting non-FDA-approved versions of Wegovy®, which triggered heightened legal and regulatory challenges. This sharpens investors’ focus on the company’s risk management in high-growth, highly regulated product categories that, until now, have underpinned much of the narrative around future expansion and revenue diversification.

However, investors should also be aware that growing regulatory review linked to Hims & Hers’ most visible growth engines may…

Read the full narrative on Hims & Hers Health (it’s free!)

Hims & Hers Health’s outlook anticipates $3.3 billion in revenue and $261.3 million in earnings by 2028. This scenario assumes 18.3% annual revenue growth and a $67.7 million increase in earnings from the current $193.6 million.

Uncover how Hims & Hers Health’s forecasts yield a $49.45 fair value, a 11% upside to its current price.

HIMS Community Fair Values as at Aug 2025 HIMS Community Fair Values as at Aug 2025

Forty-eight fair value estimates from the Simply Wall St Community range from US$17.15 to US$97.04 per share, underscoring strong disagreement on Hims & Hers Health’s prospects. Opinions often hinge on the risk that regulatory challenges could disrupt momentum in its flagship weight loss and telehealth offerings, be sure to compare these views for a fuller picture.

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Explore 48 other fair value estimates on Hims & Hers Health – why the stock might be worth less than half the current price!

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include HIMS.

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