Shares surged as Barclays handed Hims & Hers Health its most aggressive Wall Street endorsement in months, lifting its price target 34% — from $29 to $39 — and fueling a rally that has pushed the stock up 27% in just five trading days. The question now: whether a company still nursing a $92 million quarterly loss can convert booming demand into actual profits.
• The Novo Nordisk Deal Is Finally Showing Up in the Data. Novo Nordisk confirmed it would sell its blockbuster weight-loss drugs Wegovy and Ozempic through the Hims & Hers platform in a March 9 partnership, and Barclays says the payoff is now measurable. Website traffic rose 12% year-over-year in April and accelerated to 35% growth in May, transaction volumes jumped 16% month-over-month, customer spending climbed 14%, and monthly active app users surged 21% in May. Those are the sharpest engagement metrics the company has posted since pivoting away from cheaper compounded drugs.
• A Painful Quarter Sits Just Behind This Rally. Hims & Hers posted a $92 million loss in Q1 — versus a $49.5 million profit a year earlier — on revenue of $608 million, up just 4%.
The company reported a loss of 40 cents per share versus consensus expectations of a 4-cent profit. The miss stemmed from the costly transition to branded GLP-1 drugs, which carry far lower margins than the compounded versions Hims previously sold. Investors betting on the Barclays thesis are effectively trusting that volume will eventually compensate for thinner per-unit economics.
• Barclays Sees a Second-Half Profit Surge — The Street Isn't Fully Convinced. Barclays expects strong demand for weight-loss offerings and contributions from other businesses to drive a significant acceleration in revenue and EBITDA during the second half of 2026. Management backs this up with full-year 2026 revenue guidance of $2.8 billion to $3 billion and adjusted EBITDA guidance of $275 million to $350 million. Yet only four of 16 covering analysts rate the stock a Buy, while 11 rate it Hold and one rates it Strong Sell.
• The Valuation Gap Tells the Real Story. At $34.09, shares trade well below Barclays' $39 target but above the broader analyst average. Management's long-term 2030 goals of $6.5 billion in revenue and $1.3 billion in EBITDA would justify a far higher price — if the branded GLP-1 model scales. With earnings not due until August 3, investors face weeks of trading on faith rather than figures.