Hims & Hers Health ( (HIMS) ) is experiencing volatility. Read on for a possible explanation for the stock’s unusual movement.
Hims & Hers Health shares took a hit after reports surfaced about the company marketing hair-loss treatments to young men without properly disclosing severe side effects, such as sexual dysfunction and depression. This news, highlighted by The Wall Street Journal, raises concerns about telehealth advertising regulations and could negatively affect the company’s sales. Although the stock had previously risen after the company shifted its focus to dermatology services, analysts remain cautious. They cite regulatory challenges in the weight-loss market and stiff competition from companies like Lilly and Novo Nordisk as potential threats to Hims & Hers’ market share and revenue targets. Additionally, recent insider selling activity adds to the conservative outlook on the stock’s future performance.
More about Hims & Hers Health
YTD Price Performance: 34.64%
Average Trading Volume: 20,909,325
Technical Sentiment Consensus Rating: Sell
Current Market Cap: $7.71B
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