Hims & Hers Health Exceeds Earnings Expectations, Drives Stock Upward
Personal-care products company Hims & Hers Health Inc (NYSE:HIMS) reported upbeat results for the first quarter on Tuesday, driving shares upward in early trading. The results came amid an exciting earnings season, with key analyst expectations fueling the stock movement.
Piper Sandler analyst Korinne Wolfmeyer maintained a Neutral rating on the stock but raised the price target from $11 to $13. Truist Securities analyst Jailendra Singh also reaffirmed a Hold rating and a price target of $13. Both analysts highlighted positive aspects of the company’s performance.
Hims & Hers Health exceeded Street expectations with total revenue of $278.2 million, representing a 46% year-on-year growth. The company also beat on adjusted EBITDA, driven by impressive SG&A leverage. Management raised their revenue and adjusted EBITDA guidance for 2024.
Truist Securities emphasized a beat and raise quarter driven by strong subscriber growth, increasing penetration of personalized solutions, and efficiency improvements. Subscribers grew by 41% to 1.709 billion, with plans to expand personalized solutions in established and newer specialties.
Shares of Hims & Hers Health had risen by 5.97% to $12.34 at the time of publication on Tuesday, reflecting the company’s strong quarter and positive analyst expectations that are contributing to its upward movement in early trading.
