Why Hims & Hers Health Stock Sank This Week
Shares of Hims & Hers Health (NYSE: HIMS) sank 10.5% this week, according to data from S&P Global Market Intelligence. The telehealth company that sells dermatology, sexual health, and weight loss drugs directly to consumers posted strong growth for the fourth quarter of 2024 but has investors concerned over the legality of its weight loss drug compounds.The stock is down 10.5% as 2 p.m. ET on Friday, while the stock is still up 224% in the last year. Here's why Hims & Hers stock fell this week.Q4 2024 showed more blockbuster growth for Hims & Hers. Revenue growth accelerated to 95% year over year, hitting $481 million in the last three months of the year. Gross margin remained high at 77% in the period, leading to increased operating leverage as the business scales. The company generated just under $200 million in free cash flow in 2024 compared to $47 million in 2023, which shows that Hims & Hers can self-fund its growth.Continue reading
Shares of Hims & Hers Health (NYSE: HIMS) sank 10.5% this week, according to data from S&P Global Market Intelligence. The telehealth company that sells dermatology, sexual health, and weight loss drugs directly to consumers posted strong growth for the fourth quarter of 2024 but has investors concerned over the legality of its weight loss drug compounds.
The stock is down 10.5% as 2 p.m. ET on Friday, while the stock is still up 224% in the last year. Here's why Hims & Hers stock fell this week.
Q4 2024 showed more blockbuster growth for Hims & Hers. Revenue growth accelerated to 95% year over year, hitting $481 million in the last three months of the year. Gross margin remained high at 77% in the period, leading to increased operating leverage as the business scales. The company generated just under $200 million in free cash flow in 2024 compared to $47 million in 2023, which shows that Hims & Hers can self-fund its growth.
