This Could Be a Huge Blow to Hims & Hers Health Stock
Hims & Hers Health (NYSE: HIMS) has been a top healthcare stock to own over the past five years, soaring by around 350% during that stretch. By focusing on offering customers personalized telehealth options, the business has experienced tremendous growth.A big opportunity lately has been in helping people access GLP-1 weight loss drugs, which can sometimes be difficult to get because of huge demand. But that strategy could face some challenges ahead as Hims & Hers doesn't make top GLP-1 drugs. Instead, it has been able to connect patients to compounded drugs that aren't approved by regulators and involve a mixture of multiple ingredients.While they aren't exact copies of popular GLP-1 drugs, they are permissible to make -- but that's only amid a shortage. And recently, the Food and Drug Administration announced that semaglutide, the active ingredient in Ozempic and Wegovy (which Novo Nordisk makes), is no longer in shortage. That could undermine Hims & Hers' growth strategy.Continue reading
Hims & Hers Health (NYSE: HIMS) has been a top healthcare stock to own over the past five years, soaring by around 350% during that stretch. By focusing on offering customers personalized telehealth options, the business has experienced tremendous growth.
A big opportunity lately has been in helping people access GLP-1 weight loss drugs, which can sometimes be difficult to get because of huge demand. But that strategy could face some challenges ahead as Hims & Hers doesn't make top GLP-1 drugs. Instead, it has been able to connect patients to compounded drugs that aren't approved by regulators and involve a mixture of multiple ingredients.
While they aren't exact copies of popular GLP-1 drugs, they are permissible to make -- but that's only amid a shortage. And recently, the Food and Drug Administration announced that semaglutide, the active ingredient in Ozempic and Wegovy (which Novo Nordisk makes), is no longer in shortage. That could undermine Hims & Hers' growth strategy.
