Hims & Hers in Free Fall: Why Analysts See Nearly 150% Upside

Key Points

• Shares of HIMS have plummeted 75% from their May 2025 highs, recently driven by a Novo Nordisk lawsuit filed on Feb. 9.
• The stock’s Relative Strength Index reading of 16.87 is absurdly low, suggesting it is oversold.
• Analysts are optimistic that a rebound is coming, with the average 12-month price target implying nearly 150% potential upside.

With the health care sector remaining mostly flat several weeks into 2026, one of last year’s success stories has turned into an investor nightmare as shares of Hims & Hers Health NYSE: HIMS continue to plummet from their record highs.

Since its all-time high of $64.65 on May 16, 2025, HIMS has lost a staggering 75.50%. That sell-off began in earnest in late September, but much of the damage to the telehealth provider has come this year.

On Feb. 9, Big Pharma mainstay and GLP-1-agnostic manufacturer Novo Nordisk NYSE: NVO filed a lawsuit against Hims & Hers Health, accusing the company of unlawfully mass-marketing unapproved versions of its FDA-approved semaglutide medicines, deceiving patients, and putting their health at risk.

According to the suit, Novo Nordisk is aiming to “defend the scientific innovations that deliver better health outcomes to Americans living with serious chronic diseases like obesity and diabetes,” while asking the court to permanently ban Hims & Hers from selling unapproved, compounded drugs that infringe on its patents. Additionally, the company is seeking to recover damages.

But for once-optimistic investors who are afraid they are now bagholders, analysts remain surprisingly bullish on HIMS, both in the short and medium terms.

Why Some Analysts Remain Bullish on HIMS

For one, much of the fallout from the Novo Nordisk lawsuit is already priced in. Over the past month, Hims & Hers Health has fallen more than 48%. But when the company next reports on Feb. 23, analysts are expecting earnings per share (EPS) to return to green alongside what would be record quarterly revenue of $619 million. Over the past four quarters, the company has enjoyed average revenue growth of nearly 82%.

From a technical standpoint, the Relative Strength Index, or RSI, reading on HIMS’ one-year chart is an absurdly low 16.87. Anything equity with an RSI reading of 30 or below is generally considered oversold and likely to experience a bullish near-term price reversal.

Short interest provides another clue. Currently, that figure stands at a concerning 40.98%, or $2.08 billion. However, that figure is already down by about half since October, when short interest was $4.2 billion. Meanwhile, the number of institutional buyers (405) is nearly double the number of institutional sellers (215) over the past year.

Importantly, aside from the GLP-1 drama, Hims & Hers Health’s other business segment growth remains in place.

Hims & Hers Should Continue to Profit From Telehealth and Sexual Wellness Demand

According to industry consultancy firm Grand View Research, the global telehealth market, which was valued at more than $123 billion in 2024, is forecast to undergo a compound annual growth rate (CAGR) of 24.68% from 2025 to 2030, reaching a value of more than $455 billion. Additionally, the hair thinning market’s projected CAGR during the same period is 10.85%, with the expectation that it will reach a value of $2.75 billion in 2030, up from $1.51 billion in 2024.

At the same time, the U.S. sexual health supplement market, valued at $3.5 billion in 2023, is forecast to undergo a CAGR of 10.4% from 2024 through 2030. Grand View points to “evolving consumer preferences and emerging market trends” as catalysts, and plainly states that the market “is a rapidly growing industry,” with the female-use segment expected to grow faster than its male counterpart at a CAGR of 11.31% through 2030.

Importantly, the online sexual health supplement market segment—which Hims & Hers Health caters to—is expected to grow faster than the brick-and-mortar alternative, with the former expected to undergo a CAGR of 11.94% during the forecast period. Grand View highlights consumers’ preferences for convenience and accessibility, adding that online retailers have the ability to reach a wider audience and offer a larger selection of products at competitive prices.

HIMS Is Massively Oversold and Due for Notable Price Appreciation

Of the 17 analysts currently covering HIMS, the stock receives a consensus Hold rating. Only four analysts assign it a Buy rating.

Nonetheless, their average 12-month price target of $39.32 suggests nearly 150% upside, while the high-end 12-month price target of $68 implies nearly 330% upside.

Importantly, even the low-end 12-month price target of $16.50 would entail upside from the stock’s current share price. 

HIMS’ jump from a trailing 12-month price-to-earnings (P/E) ratio of 29.03 to a forward P/E ratio of 54.12 is something to continue monitoring, but the company’s debt-to-equity ratio of 1.67 is healthy and sustainable. 

Hims & Hers Health scores higher than 89% of the companies evaluated by MarketBeat and ranks 69th out of 875 health care stocks.