Hims and Hers grows 38 percent and misses on earnings by a factor of seven

Hims and Hers Health generated revenue of around 753 million dollars in the second quarter of 2026, up 38 percent on the year before. The loss per share came in at 37 cents. Analysts had expected only five cents. In the year earlier quarter the company had still earned 17 cents.

The share fell more than seven percent before the open and then recovered part of that.

The number of subscribers rose 19 percent to just under 2.9 million. Adjusted earnings before interest, tax, depreciation and amortisation reached 60 million dollars.

The short version

• Revenue rose 38 percent in the second quarter of 2026 to around 753 million dollars, and the loss per share was 37 cents against an expected five cents.
• The number of subscribers grew 19 percent to just under 2.9 million.
• Revenue guidance for 2026 was raised to 3.1 to 3.3 billion dollars, after 2.8 to 3.0 billion in May.

Guidance raised twice

Despite the miss the company has raised its expectations. Revenue guidance for 2026 now stands at 3.1 to 3.3 billion dollars. For adjusted earnings before interest, tax, depreciation and amortisation, 275 to 325 million dollars are expected.

In May the range had still been 2.8 to 3.0 billion dollars.

The comparison of the two quarters shows a remarkable acceleration. In the first quarter revenue of around 608 million dollars had grown only four percent, and the subscriber count nine percent to just under 2.6 million. Three months later the figures are 38 and 19 percent.

Co founder and chief executive Andrew Dudum said the company delivers a world class health experience at a fair price for nearly three million people. Quarter after quarter it proves that feeling well and strong results do not exclude one another.

The obesity treatments cost margin

The cause of the loss lies with the treatments for obesity. The company has invested in branded products from that class of substances, which has weighed on the gross margin.

The mechanism is simple. A provider that buys in a branded drug and resells it earns considerably less on that than on its own products or on copies. If that area grows quickly, the overall margin falls even though revenue rises.

That exact shift in the product mix is what the company names as the reason. As a counterweight it points to operational improvements and to the size of its international business.

Alongside the obesity area the group names offerings around testosterone as a growth driver, as well as the use of artificial intelligence in care.

Analysts raise targets but stay divided

The reaction of analysts was unusual. Despite the missed result several houses raised their price targets.

Morgan Stanley went from 21 to 28 dollars, TD Cowen from 25 to 30 dollars, Deutsche Bank from 25 to 26 dollars. Before the figures Canaccord Genuity had already gone from 32 to 40 dollars and Barclays from 29 to 39 dollars. Bank of America stayed neutral and lifted its target from 36 to 37 dollars.

JPMorgan had moved the other way in May and cut from 35 to 33 dollars.

The share had closed on the Friday before the figures at 31.59 dollars, up 6.5 percent.

Peptides and a board investigation

Two further points occupy the market. The company plans to offer certain legally permitted peptides in 2026. Investors and analysts nevertheless expressed doubts to Reuters about the revenue that can be achieved.

The background is a decision of 23 July. An advisory panel of the American drug regulator voted to place a particular peptide on a list that allows preparation in pharmacies.

On 12 August an American law firm also announced an investigation of the board. Such announcements are common in the United States after share price falls and do not on their own mean proceedings.

The next figures are expected on 2 November. Analysts then expect a profit of eight cents per share again.

Frequently asked questions

Why was the loss so large

The cause lies with the treatments for obesity. The company has invested in branded products from that class of substances, which has weighed on the gross margin. A provider that buys in a branded drug and resells it earns considerably less on that than on its own or copied products.

Why do analysts raise their targets anyway

Because guidance was raised. Morgan Stanley went from 21 to 28 dollars, TD Cowen from 25 to 30 dollars, Deutsche Bank from 25 to 26 dollars. Before the figures Canaccord Genuity had already gone from 32 to 40 dollars and Barclays from 29 to 39 dollars.

What is the story with the peptides

The company plans to offer certain legally permitted peptides in 2026. The background is a decision of 23 July, when an advisory panel of the American drug regulator voted to place a particular peptide on a list that allows preparation in pharmacies.

This analysis is for information only and is not investment advice.