BTIG Downgrades Hims and Hers (HIMS) to Neutral

BTIG analyst David Larsen downgraded Hims and Hers (NYSE: HIMS) from Buy to Neutral.

The analyst comments "We downgrade shares of HIMS to Neutral following disappointing 4Q:25 earnings results reported on Monday, 2/23/26 AMC, a weak 1Q:26 guide, slowing revenue growth, and increased legal and regulatory risk. Our primary concern is that even though HIMS stated that there will be a ~$65M revenue headwind in 1Q:26 due to 503A "shipping cadences," this may at least in part be due to increased regulatory scrutiny, possible changes in marketing and advertising, or greater demand for brand GLP-1s from consumers. Revenue in the quarter of $617.8M +28% y/y was well below our prior estimate of $640.1M (vs. consensus / guidance of $619M / $605M-$625M), while adjusted EBITDA of $66.3M +23% y/y was also below our $75.8M estimate (vs. consensus / guidance of $62M / $55M-$65M). In addition to disappointing 4Q:25 results, full-year 2026E guidance was also light relative to our expectations, with revenue expected to be $2.7B-$2.9B (vs. our $2.99B E) and adjusted EBITDA expected to be $300M-$375M (vs. our $425M E) signaling a possible slowdown in 2026E. The concern in our view is that 1Q:26E guidance was low, with revenue of $600-$625M (vs. BTIG / consensus of $673.2M E / $653M) and adjusted EBITDA of just $35M-$55M (vs. $93.9M E / $82M). The back-half loaded year creates significant risk and uncertainty especially given all of the legal and regulatory risk around the lawsuit from Novo Nordisk (NVO, Not Rated), increased scrutiny by the FDA, and we have concerns around a possible DOJ investigation. We also worry about improved GLP-1 pricing for brands, lack of insurance coverage, and slowing growth; as a result we downgrade HIMS to Neutral."

For an analyst ratings summary and ratings history on Hims and Hers click here. For more ratings news on Hims and Hers click here.

Shares of Hims and Hers closed at $15.51 yesterday.

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