Shares shifted sharply after Hims & Hers Health posted a first quarter that fell short on virtually every line that matters to Wall Street. Revenue came in at approximately $608 million, up just 4% year-over-year , missing the $616.9 million consensus estimate while adjusted EPS landed at -$0.40 versus the $0.03 analysts expected . The stock dropped 6.8% to $27.16 in after-hours trading — a gut punch for investors who had ridden a roughly 50% rally over the prior month.
• The Revenue Miss Exposes a Painful Growth Slowdown
Wall Street was already braced for just 5.2% year-over-year growth, a striking deceleration from the 111% revenue expansion HIMS achieved in Q1 2025. Falling below even that lowered bar signals the company's transition away from cheaper, custom-mixed weight-loss drugs toward pricier branded medications is costing more sales momentum than management anticipated. Gross margin fell to 65% from 73% a year ago , meaning each dollar of revenue now keeps far less profit.
• Five Days of Branded Drug Sales Couldn't Move the Needle
Hims struck a deal with Novo Nordisk after the Danish drugmaker withdrew a patent lawsuit in March, granting the platform the right to distribute branded Wegovy and Ozempic. But those medications went live on the platform on March 26 — just five days before the quarter ended — meaning meaningful revenue is likely to show up in Q2 instead. Investors betting on the weight-loss drug pivot now face another quarter of waiting.
• Management Raised the Full-Year Target — But the Gap Between Promise and Proof Is Wide
The company raised its 2026 revenue guidance to a range of $2.8 billion to $3.0 billion with adjusted EBITDA of $275 million to $350 million , and reaffirmed long-term targets of at least $6.5 billion in revenue and $1.3 billion in adjusted EBITDA (earnings before interest, taxes, and accounting write-downs) by 2030. Yet investors now need to see those ambitions translate into near-term acceleration after Q1 revenue grew just 4%.
• Heavy Short Bets Add Fuel to the Volatility
Short interest — shares held by traders betting the price will fall — remains elevated above 35% of the available float, equivalent to nearly 70 million shares.
The 52-week high sits at $70.43 , more than double today's price. With subscribers at nearly 2.6 million, up 9% year-over-year , the user base is growing — the question is whether Hims can turn those subscribers into profits before patience runs out.