Hims & Hers Health's Shift to Branded GLP-1s to Weigh on Margins, BofA Securities Says

MT Newswires Live04-08 23:30

Hims & Hers Health (HIMS) faces near-term margin pressure as it pivots to branded GLP-1 from compounded products, while channel checks on the Eucalyptus deal point to long-term upside, BofA Securities said in a note Wednesday.

The investment firm said it lowered its 2026 earnings before interest, taxes, depreciation, and amortization estimate to about $255 million from $260 million, about 20% below Street estimates, as GLP-1 EBITDA contributions could fall 50%.

The firm also cut its 2026 revenue estimate to $2.37 billion from $2.44 billion, with GLP-1 revenue forecast for the year down to $516 million from $577 million due to lower revenue per GLP-1 subscriber.

BofA is more constructive on international expansion following Eucalyptus channel checks, citing approximately 40% gross margins and around 20% contribution margins per subscriber. However, this may initially dilute margins, creating a 1 to 2 percentage point EBITDA headwind, according to the note.

BofA Securities maintained its neutral rating on the stock and lowered its price target to $21 from $23.

Shares of Hims & Hers Health were up 1.7% in Wednesday trading.

Price: 19.84, Change: +0.34, Percent Change: +1.72

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2625284489?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2026-04-08 23:30","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2625284489","market":"fut","top_or_hot":-1,"title":"Hims & Hers Health's Shift to Branded GLP-1s to Weigh on Margins, BofA Securities Says","media":"MT Newswires Live","content":"<html><body><p> Hims &amp; Hers Health (HIMS) faces near-term margin pressure as it pivots to branded GLP-1 from compounded products, while channel checks on the Eucalyptus deal point to long-term upside, BofA Securities said in a note Wednesday.</p><p>The investment firm said it lowered its 2026 earnings before interest, taxes, depreciation, and amortization estimate to about $255 million from $260 million, about 20% below Street estimates, as GLP-1 EBITDA contributions could fall 50%.</p><p>The firm also cut its 2026 revenue estimate to $2.37 billion from $2.44 billion, with GLP-1 revenue forecast for the year down to $516 million from $577 million due to lower revenue per GLP-1 subscriber.</p><p>BofA is more constructive on international expansion following Eucalyptus channel checks, citing approximately 40% gross margins and around 20% contribution margins per subscriber. However, this may initially dilute margins, creating a 1 to 2 percentage point EBITDA headwind, according to the note.</p><p>BofA Securities maintained its neutral rating on the stock and lowered its price target to $21 from $23.</p><p>Shares of Hims &amp; Hers Health were up 1.7% in Wednesday trading.</p><p>Price: 19.84, Change: +0.34, Percent Change: +1.72</p></body></html>","source":"mtnewswires_news","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Hims & Hers Health's Shift to Branded GLP-1s to Weigh on Margins, BofA Securities Says</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nHims & Hers Health's Shift to Branded GLP-1s to Weigh on Margins, BofA Securities Says\n</h2>\n\n<h4 class=\"meta\">\n\n\n<a class=\"head\" href=\"https://laohu8.com/wemedia/1092851196\">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://community-static.tradeup.com/news/3002d84abbd5ace3c99397c7f95b8d4e);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">MT Newswires Live </p>\n<p class=\"h-time\">2026-04-08 23:30</p>\n</div>\n\n</a>\n\n\n</h4>\n\n</header>\n<article>\n<html><body><p> Hims &amp; Hers Health (HIMS) faces near-term margin pressure as it pivots to branded GLP-1 from compounded products, while channel checks on the Eucalyptus deal point to long-term upside, BofA Securities said in a note Wednesday.</p><p>The investment firm said it lowered its 2026 earnings before interest, taxes, depreciation, and amortization estimate to about $255 million from $260 million, about 20% below Street estimates, as GLP-1 EBITDA contributions could fall 50%.</p><p>The firm also cut its 2026 revenue estimate to $2.37 billion from $2.44 billion, with GLP-1 revenue forecast for the year down to $516 million from $577 million due to lower revenue per GLP-1 subscriber.</p><p>BofA is more constructive on international expansion following Eucalyptus channel checks, citing approximately 40% gross margins and around 20% contribution margins per subscriber. However, this may initially dilute margins, creating a 1 to 2 percentage point EBITDA headwind, according to the note.</p><p>BofA Securities maintained its neutral rating on the stock and lowered its price target to $21 from $23.</p><p>Shares of Hims &amp; Hers Health were up 1.7% in Wednesday trading.</p><p>Price: 19.84, Change: +0.34, Percent Change: +1.72</p></body></html>\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"HIMY","symbol_name":"Defiance Leveraged Long + Income HIMS ETF","start_time":0,"source_url":"https://www.mtnewswires.com/","article_id":"2625284489","we_media_id":"1092851196","thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2625284489","pubTimestamp":1775662205,"columns":[],"sourceInfo":{"source_id":"mtnewswires_news","name":"MT Newswires"},"weMediaInfo":{"media_name":"MT Newswires Live","introduction":"The most recognized names in North America, Europe and Asia rely on MT Newswires to power their applications. Better news, better service, better price.","home_visible":1,"id":"1092851196","head_image":"https://community-static.tradeup.com/news/3002d84abbd5ace3c99397c7f95b8d4e"},"summary":"Hims & Hers Health  faces near-term margin pressure as it pivots to branded GLP-1 from compounded products, while channel checks on the Eucalyptus deal point to long-term upside, BofA Securities said in a note Wednesday.The investment firm said it lowered its 2026 earnings before interest, taxes, depreciation, and amortization estimate to about $255 million from $260 million, about 20% below Street estimates, as GLP-1 EBITDA contributions could fall 50%.The firm also cut its 2026 revenue estimate to $2.37 billion from $2.44 billion, with GLP-1 revenue forecast for the year down to $516 million from $577 million due to lower revenue per GLP-1 subscriber.BofA is more constructive on international expansion following Eucalyptus channel checks, citing approximately 40% gross margins and around 20% contribution margins per subscriber. However, this may initially dilute margins, creating a 1 to 2 percentage point EBITDA headwind, according to the note.BofA Securities maintained its neutral r","collect":0,"end_time":0,"defaultTopTitle":"","property":[],"viewcount":null,"language":"en","relate_stocks":{"HIMY":"Defiance Leveraged Long + Income HIMS ETF","HIYY":"YieldMax HIMS Option Income Strategy ETF","HIMS":"Hims & Hers Health Inc.","BK4196":"保健护理服务","BK4590":"PTP","HIMZ":"DEFIANCE DAILY TARGET 2X LONG HIMS ETF","HMYY":"GraniteShares YieldBoost HIMS ETF","BK4144":"石油与天然气的储存和运输"},"translate_title":"美国银行证券表示，Hims&Hers Health转向品牌GLP-1会影响利润率","themeId":"f6f7c9f6a0174df79daf9f1dfd21f836","isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"HIMZ":0.6,"HIYY":0.6,"HIMS":1.97,"HMYY":0.6,"HIMY":0.6},"content_text":"Hims & Hers Health (HIMS) faces near-term margin pressure as it pivots to branded GLP-1 from compounded products, while channel checks on the Eucalyptus deal point to long-term upside, BofA Securities said in a note Wednesday.The investment firm said it lowered its 2026 earnings before interest, taxes, depreciation, and amortization estimate to about $255 million from $260 million, about 20% below Street estimates, as GLP-1 EBITDA contributions could fall 50%.The firm also cut its 2026 revenue estimate to $2.37 billion from $2.44 billion, with GLP-1 revenue forecast for the year down to $516 million from $577 million due to lower revenue per GLP-1 subscriber.BofA is more constructive on international expansion following Eucalyptus channel checks, citing approximately 40% gross margins and around 20% contribution margins per subscriber. However, this may initially dilute margins, creating a 1 to 2 percentage point EBITDA headwind, according to the note.BofA Securities maintained its neutral rating on the stock and lowered its price target to $21 from $23.Shares of Hims & Hers Health were up 1.7% in Wednesday trading.Price: 19.84, Change: +0.34, Percent Change: +1.72","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"isVideo":false,"video":null,"symbols":[],"gpt_button":0,"need_auth":false,"code":"91000000","status":"200"},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"tenantId":"TBGLOBAL","deviceId":"web-server-community-laohu8-v3","version":"4.40.0","shortVersion":"4.40.0","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2625284489","isCrawlerRequest":true}