Why Hims & Hers Stock Popped on Monday
Morgan Stanley had great news for Hims & Hers stock today, so why didn't it upgrade the stock?
Hims & Hers Health (NYSE: HIMS) stock jumped 2.2% through 10:45 a.m. ET Monday after Morgan Stanley analyst Craig Hettenbach delivered some good news for the mail-order drugs stock.
Citing third-party data, Hettenback said downloads of the Hims & Hers apps increased 47% year over year in February.
On Apple's App Store, Hims & Hers offers two separate apps for download, "Hims," which advertises itself as an app for "hair loss, sexual health" and "Hers" which promotes "hair care, mental health." Morgan Stanley's research suggests the majority of downloads in February were of the Hers app.
This suggests new customer growth for Hims & Hers is coming primarily from women. It's also likely the surge in downloads in February, in particular, was driven by advertising surrounding a certain sporting event that took place that month. And seeing as those commercials concerned weight loss, demand for the Hers app likely indicates increased demand from women for the GLP-1 drugs Hims & Hers hawks as cheaper alternatives to those from Novo Nordisk and Eli Lilly.
