Hims & Hers Health (NYSE:HIMS) Shares Gap Down Following Insider Selling

Key Points

• Hims & Hers Health shares experienced a significant drop, opening at $42.91 after CEO Andrew Dudum sold 128,127 shares at an average price of $45.06, reducing his ownership by nearly 59%.
• Analysts have downgraded Hims & Hers Health from a "strong-buy" rating to a "hold," with a consensus target price of $38.92 for the stock amidst ongoing trading and market fluctuations.
• The company reported Q2 earnings of $0.17 EPS, missing expectations, while revenue increased by 72.6% year-over-year, indicating potential growth despite recent challenges.

Hims & Hers Health, Inc. (NYSE:HIMS - Get Free Report) shares gapped down prior to trading on Friday following insider selling activity. The stock had previously closed at $43.96, but opened at $42.91. Hims & Hers Health shares last traded at $44.71, with a volume of 4,937,687 shares changing hands.

Specifically, CEO Andrew Dudum sold 128,127 shares of the business's stock in a transaction on Monday, August 18th. The shares were sold at an average price of $45.06, for a total value of $5,773,402.62. Following the completion of the sale, the chief executive officer directly owned 89,521 shares of the company's stock, valued at $4,033,816.26. The trade was a 58.87% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink.

Analyst Upgrades and Downgrades

HIMS has been the subject of a number of research reports. Zacks Research cut shares of Hims & Hers Health from a "strong-buy" rating to a "hold" rating in a report on Tuesday. Needham & Company LLC reaffirmed a "hold" rating on shares of Hims & Hers Health in a report on Tuesday, August 5th. Deutsche Bank Aktiengesellschaft reaffirmed a "hold" rating on shares of Hims & Hers Health in a report on Wednesday, May 7th. Citigroup reaffirmed a "sell" rating on shares of Hims & Hers Health in a report on Monday, June 23rd. Finally, TD Cowen lowered shares of Hims & Hers Health from a "buy" rating to a "hold" rating and dropped their price target for the stock from $44.00 to $30.00 in a research note on Tuesday, April 29th. Two equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and three have issued a Sell rating to the company. According to MarketBeat.com, the company currently has an average rating of "Reduce" and a consensus target price of $38.92.

Hims & Hers Health Stock Up 1.2%

The company has a debt-to-equity ratio of 1.72, a current ratio of 4.98 and a quick ratio of 4.46. The firm has a market capitalization of $10.05 billion, a price-to-earnings ratio of 55.57, a price-to-earnings-growth ratio of 2.93 and a beta of 2.08. The firm's 50-day moving average price is $51.92 and its 200 day moving average price is $45.76.

Hims & Hers Health (NYSE:HIMS - Get Free Report) last released its quarterly earnings data on Monday, August 4th. The company reported $0.17 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.18 by ($0.01). The business had revenue of $544.83 million during the quarter, compared to analyst estimates of $550.06 million. Hims & Hers Health had a return on equity of 26.26% and a net margin of 9.63%.Hims & Hers Health's revenue was up 72.6% on a year-over-year basis. During the same period in the previous year, the company earned $0.06 EPS. Hims & Hers Health has set its Q3 2025 guidance at EPS. FY 2025 guidance at EPS. Sell-side analysts expect that Hims & Hers Health, Inc. will post 0.29 EPS for the current year.

Institutional Trading of Hims & Hers Health

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Marex Group plc bought a new stake in shares of Hims & Hers Health during the 2nd quarter worth about $53,626,000. Nomura Holdings Inc. grew its stake in shares of Hims & Hers Health by 151.4% in the 2nd quarter. Nomura Holdings Inc. now owns 161,052 shares of the company's stock worth $8,028,000 after purchasing an additional 96,997 shares during the last quarter. Castleark Management LLC acquired a new position in shares of Hims & Hers Health in the 2nd quarter worth approximately $2,921,000. Tower Research Capital LLC TRC grew its stake in shares of Hims & Hers Health by 54.3% in the 2nd quarter. Tower Research Capital LLC TRC now owns 38,285 shares of the company's stock worth $1,909,000 after purchasing an additional 13,473 shares during the last quarter. Finally, SkyView Investment Advisors LLC acquired a new position in shares of Hims & Hers Health in the 2nd quarter worth approximately $226,000. 63.52% of the stock is currently owned by institutional investors.

Hims & Hers Health Company Profile

Hims & Hers Health, Inc operates a telehealth consultation platform. It connects consumers to healthcare professionals, enabling them to access medical care for mental health, sexual health, dermatology and primary care. The company was founded in 2017 and is headquartered in San Francisco, CA.

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