Hims & Hers Health Inc. (HIMS) experienced a pre-market surge of 5.04% on Friday, following positive analyst coverage from a major investment bank.
The stock's rise comes after J.P. Morgan initiated coverage on the telehealth company with an "overweight" rating and a $35 price target, representing approximately 24% upside from its previous close. Analysts highlighted several positive factors including the potential of the Novo partnership to mark a turning point by removing legal overhang, positioning the company as a comprehensive platform offering branded, generic, and compounded products.
J.P. Morgan also noted that Hims & Hers' weight loss specialty can still grow this year, with more stable GLP-1 business, peptide legalization, revenue reacceleration expected in the second half, and potential for additional branded partnerships creating a compelling catalyst path for the stock.
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