Hims & Hers Health Target of Unusually Large Options Trading (NYSE:HIMS)

Key Points

• Unusually heavy call option activity hit Hims & Hers Health, with traders buying 205,487 call contracts on Tuesday, about 19% above its normal daily volume.
• The stock has been pressured by a mixed quarterly report, including an EPS and revenue miss, along with lower gross margin and higher costs tied to its GLP-1 strategy shift.
• Despite the selloff, some investors remain optimistic: the company raised its full-year 2026 revenue outlook, and analysts such as Needham and JPMorgan have kept constructive ratings or higher targets.

Hims & Hers Health, Inc. (NYSE:HIMS - Get Free Report) was the recipient of some unusual options trading activity on Tuesday. Traders acquired 205,487 call options on the stock. This represents an increase of approximately 19% compared to the typical daily volume of 172,606 call options.

Key Headlines Impacting Hims & Hers Health

Here are the key news stories impacting Hims & Hers Health this week:

• Positive Sentiment: Hims & Hers raised its full-year 2026 revenue outlook, signaling management still expects stronger growth ahead.
• Positive Sentiment: Needham raised its price target on HIMS and kept a buy rating, indicating some analysts still see upside.
• Positive Sentiment: Unusually heavy call option buying suggests some traders are positioning for a rebound after the selloff.
• Neutral Sentiment: The company continues to expand its digital health platform with new care offerings and partnerships, which may support longer-term growth.
• Negative Sentiment: Q1 earnings and revenue both missed expectations, which is the main reason the stock is falling.
• Negative Sentiment: Gross margin declined and costs rose as the company adjusted its GLP-1 strategy, raising concerns about near-term profitability.
• Negative Sentiment: JPMorgan trimmed its price target on HIMS after the mixed quarter, reflecting a more cautious view on the growth story.

Insider Buying and Selling at Hims & Hers Health

In related news, COO Michael Chi sold 97,289 shares of Hims & Hers Health stock in a transaction on Tuesday, March 17th. The shares were sold at an average price of $24.69, for a total value of $2,402,065.41. Following the transaction, the chief operating officer owned 407,282 shares in the company, valued at $10,055,792.58. This trade represents a 19.28% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Soleil Boughton sold 9,463 shares of Hims & Hers Health stock in a transaction on Monday, April 20th. The stock was sold at an average price of $30.00, for a total transaction of $283,890.00. Following the completion of the transaction, the insider owned 299,368 shares in the company, valued at approximately $8,981,040. The trade was a 3.06% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 204,857 shares of company stock worth $5,285,706 in the last 90 days. 13.71% of the stock is owned by company insiders.

Institutional Investors Weigh In On Hims & Hers Health

Several institutional investors have recently made changes to their positions in the company. Vanguard Group Inc. lifted its holdings in shares of Hims & Hers Health by 7.2% in the 4th quarter. Vanguard Group Inc. now owns 20,925,666 shares of the company's stock worth $679,456,000 after acquiring an additional 1,407,651 shares during the last quarter. Capital World Investors lifted its holdings in shares of Hims & Hers Health by 1.2% in the 3rd quarter. Capital World Investors now owns 18,783,194 shares of the company's stock worth $1,065,399,000 after acquiring an additional 223,892 shares during the last quarter. Farallon Capital Management LLC lifted its holdings in shares of Hims & Hers Health by 30.8% in the 3rd quarter. Farallon Capital Management LLC now owns 10,746,852 shares of the company's stock worth $609,561,000 after acquiring an additional 2,533,271 shares during the last quarter. State Street Corp lifted its holdings in shares of Hims & Hers Health by 1.8% in the 4th quarter. State Street Corp now owns 7,305,525 shares of the company's stock worth $237,210,000 after acquiring an additional 132,311 shares during the last quarter. Finally, Geode Capital Management LLC lifted its holdings in shares of Hims & Hers Health by 12.4% in the 4th quarter. Geode Capital Management LLC now owns 5,509,764 shares of the company's stock worth $183,485,000 after acquiring an additional 608,950 shares during the last quarter. Institutional investors own 63.52% of the company's stock.

Hims & Hers Health Price Performance

HIMS stock traded down $4.07 during trading on Tuesday, hitting $25.07. 45,824,795 shares of the company's stock traded hands, compared to its average volume of 33,347,934. Hims & Hers Health has a 52 week low of $13.74 and a 52 week high of $70.43. The company has a debt-to-equity ratio of 1.80, a quick ratio of 1.70 and a current ratio of 1.90. The business has a fifty day simple moving average of $23.08 and a 200 day simple moving average of $29.44. The stock has a market capitalization of $5.71 billion, a price-to-earnings ratio of 49.16, a P/E/G ratio of 3.85 and a beta of 2.43.

Hims & Hers Health (NYSE:HIMS - Get Free Report) last released its quarterly earnings data on Monday, May 11th. The company reported ($0.40) EPS for the quarter, missing the consensus estimate of $0.04 by ($0.44). Hims & Hers Health had a net margin of 5.47% and a return on equity of 22.48%. The business had revenue of $608.10 million for the quarter, compared to the consensus estimate of $616.84 million. During the same quarter last year, the business earned $0.20 EPS. Hims & Hers Health's revenue for the quarter was up 3.8% compared to the same quarter last year. As a group, research analysts expect that Hims & Hers Health will post 0.53 EPS for the current fiscal year.

Analyst Ratings Changes

HIMS has been the topic of several analyst reports. Jefferies Financial Group set a $24.50 target price on shares of Hims & Hers Health in a research note on Tuesday. Bank of America upped their target price on shares of Hims & Hers Health from $30.00 to $32.00 and gave the company a "neutral" rating in a report on Friday, April 24th. Citigroup upped their target price on shares of Hims & Hers Health from $24.00 to $28.00 and gave the company a "neutral" rating in a report on Tuesday. Wall Street Zen cut shares of Hims & Hers Health from a "hold" rating to a "sell" rating in a research note on Saturday. Finally, JPMorgan Chase & Co. cut their target price on shares of Hims & Hers Health from $35.00 to $33.00 and set an "overweight" rating for the company in a research note on Tuesday. Four research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus price target of $29.63.

About Hims & Hers Health

Hims & Hers Health, Inc is a telehealth platform providing direct-to-consumer personal care products and virtual medical services in the United States. Operating under the Hims & Hers brand, the company offers an integrated digital experience that connects users with licensed healthcare providers, enabling online consultations and prescriptions for a range of conditions. Its telemedicine infrastructure supports both prescription medications and over-the-counter products, with home delivery to patients' doorsteps.

The company's product portfolio addresses key areas of men's and women's health, including hair loss treatments, sexual wellness therapies, skincare regimens and mental health support.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.