Hims&Hers Health stock drops after FTC probe report surfaces

Investing.com -- Hims&Hers Health (NYSE: HIMS) stock fell 5% in after-hours trading on Thursday following a Bloomberg report that revealed the Federal Trade Commission has been investigating the telehealth company’s business practices for more than a year.

According to the report, which cited people familiar with the probe, the FTC is examining complaints about the company’s advertising practices and whether it has made it too difficult for customers to cancel their subscriptions.

The company has not been formally accused of any wrongdoing. Hims&Hers acknowledged last year that it was "voluntarily cooperating" with an FTC investigation but has declined to provide specific details about the nature of the inquiry or what information regulators had requested.

The telehealth provider, which offers prescription medications for conditions like hair loss, erectile dysfunction, and mental health through its subscription-based platform, has not commented on the latest developments regarding the investigation.

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