Hims & Hers used to sell knockoff weight loss drugs. Now theyβre selling the real ones.
The company started in 2017 as a way for people to get treatments for things like hair loss and skincare online - no awkward doctor visits, just a quick consultation and medications shipped to your door. It took off. 2.5 million subscribers now pay an average of $83/month across everything from acne to mental health, pushing revenue to $2.35 billion last year (up 59%). But the real story is weight loss. With nearly 3 in 4 Americans now overweight or obese, drugs like Ozempic and Wegovy have become some of the most prescribed medications in the country. Hims jumped on the trend by selling cheaper, compounded versions of those drugs. Novo Nordisk, the company behind the originals, sued. Then last week, something unexpected happened: Novo dropped the lawsuit and signed a distribution deal instead. The stock jumped 41% in a day.
Now Hims gets to sell the real drugs directly. But the deal also killed their most profitable product line - the cheaper copies that were driving growth. The question is whether the Novo partnership opens a bigger door than the one it closed.
Here's how the community voted
Novo Nordisk just handed them the keys - Hims went from being sued by one of the two dominant weight loss drug makers to becoming their official distribution partner. The deal gives Hims access to Wegovy and Ozempic directly, tapping a U.S. weight loss drug market that Goldman Sachs projects could reach $80 billion by 2030. Novo signed similar deals with LifeMD and Ro, but Hims is by far the largest platform of the three.
The growth machine is humming - Revenue grew 59% to $2.35 billion, with 2.5 million subscribers paying $83/month on average. Q4 earnings per share of $0.08 beat estimates by 60%. And the subscriber base extends well beyond weight loss into skincare, hair loss, and mental health.
Theyβre the front door to healthcare - Hims has built something the traditional system hasnβt: a simple way for people to get prescriptions online without the hassle. That model scales across virtually any medication category, and the Novo deal proves pharma companies see the value too.
The cash cow just got slaughtered - Hims made its fattest margins on compounded GLP-1 drugs, the cheaper copies of Wegovy and Ozempic. As part of the Novo deal, they stopped selling them entirely. Replacing high-margin generics with branded drugs at Novoβs prices means thinner margins going forward.
The stock is still down 67% from its peak - Even after the 41% rally, HIMS trades around $24, down from nearly $73 a year ago. The Novo deal is promising, but investors have been burned before. The stock has already jumped 50%+ from its early-2026 lows, and at ~$5.4 billion the market cap is pricing in a lot of optimism.
Regulatory risk is real - The FDA has been cracking down on telehealth companies selling compounded weight loss drugs, sending 30 warning letters in March alone. Hims itself received a warning letter back in September 2025, and one of its pharmacy partners had manufacturing issues flagged by state regulators. The whole telehealth prescribing model faces increasing scrutiny, and one bad ruling could change the economics overnight.
Novo Nordisk just handed them the keys - Hims went from being sued by one of the two dominant weight loss drug makers to becoming their official distribution partner. The deal gives Hims access to Wegovy and Ozempic directly, tapping a U.S. weight loss drug market that Goldman Sachs projects could reach $80 billion by 2030. Novo signed similar deals with LifeMD and Ro, but Hims is by far the largest platform of the three.
The growth machine is humming - Revenue grew 59% to $2.35 billion, with 2.5 million subscribers paying $83/month on average. Q4 earnings per share of $0.08 beat estimates by 60%. And the subscriber base extends well beyond weight loss into skincare, hair loss, and mental health.
Theyβre the front door to healthcare - Hims has built something the traditional system hasnβt: a simple way for people to get prescriptions online without the hassle. That model scales across virtually any medication category, and the Novo deal proves pharma companies see the value too.
The cash cow just got slaughtered - Hims made its fattest margins on compounded GLP-1 drugs, the cheaper copies of Wegovy and Ozempic. As part of the Novo deal, they stopped selling them entirely. Replacing high-margin generics with branded drugs at Novoβs prices means thinner margins going forward.
The stock is still down 67% from its peak - Even after the 41% rally, HIMS trades around $24, down from nearly $73 a year ago. The Novo deal is promising, but investors have been burned before. The stock has already jumped 50%+ from its early-2026 lows, and at ~$5.4 billion the market cap is pricing in a lot of optimism.
Regulatory risk is real - The FDA has been cracking down on telehealth companies selling compounded weight loss drugs, sending 30 warning letters in March alone. Hims itself received a warning letter back in September 2025, and one of its pharmacy partners had manufacturing issues flagged by state regulators. The whole telehealth prescribing model faces increasing scrutiny, and one bad ruling could change the economics overnight.
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I don't really get what this company uniquely brings to the table? Their moat is what? They're a drug distributor. It's not an apples to apples comparison, but I kind of get a babylon health throwback - peak tech pre-covid bubble in the UK.
I guess these guys have actually made money, but they're at the whims of other businesses making good product. I don't think their position as a distributor is insurmountable by future competition.
I like health stuff as a long term theme - aging populations etc. But just can't rationalise this one.