"Last quarter, the telehealth platform delivered $617.82M in revenue, up 28.41% year over year, and adjusted EPS of $0.08, beating the $0.05 estimate. Subscribers crossed 2.5 million, with monthly revenue per subscriber climbing to $83. Since the company's Q4 report, shares have rebounded hard. A GLP-1 expansion announcement on April 23 and RFK Jr.'s commentary on peptide policy reignited retail interest."
"Management also guided for full-year 2026 revenue to $2.7B to $2.9B and adjusted EBITDA to $300M to $375M, anchored on continued compounded semaglutide access. Guidance explicitly assumes continued access. Any FDA or political shift on that program reshapes the model fast. Investors will look for any details on the pending Eucalyptus acquisition (Australia and Japan, ARR around $450M) and the ZAVA Europe deal, both of which underpin the $1B international revenue target within three years."
"I'll be watching three numbers closely. First, gross margin. It compressed roughly 500 basis points to 72% in Q4 due to international scaling and lower shipping costs. It will be exciting to see if management shows that the trajectory is stabilizing here. Second, free cash flow. It swung to negative $2.57M in Q4 as capex jumped 137.61% to $63.88M on pharmacy automation."
"Third, compounded semaglutide. Guidance explicitly assumes continued access. Any FDA or political shift on that program reshapes the model fast. With roughly $1B in convertible debt from the May 2025 offering, the cash conversion story matters. The crowd is bracing for trouble. Polymarket pegs the probability of an earnings beat at just 8.5%, while analyst consensus price targets are $26.04, versus a stock price of $30.12."
Hims & Hers is set to report first-quarter results after the close, following a 45.8% rally over the prior month. Last quarter revenue reached $617.82M, up 28.41% year over year, with adjusted EPS of $0.08 and 2.5 million subscribers. Monthly revenue per subscriber rose to $83. Shares rebounded after a GLP-1 expansion announcement and renewed retail interest. Full-year 2026 guidance calls for revenue of $2.7B to $2.9B and adjusted EBITDA of $300M to $375M, assuming continued compounded semaglutide access. Key watch items include gross margin stability, free cash flow after capex increases, and details tied to international acquisitions and deals supporting revenue targets.
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