The shares of Hims & Hers Health (NYSE: HIMS), a direct-to-consumer telehealth company, have surged by more than 40% since the release of its Q4 earnings report and more than 50% since the start of the year.HIMS YTD stock price chart. Source: Google FinanceDespite being relatively unknown with a $2 billion valuation, the company has caught the interest of investors due to its impressive growth and improving financial performance.It might feel like a missed opportunity when news emerges of a stock already ga ...

Shares of direct-to-consumer telehealth business Hims & Hers Health (HIMS 0.61%) are up 30% since the company reported its Q4 earnings. The little-known $2 billion company is grabbing investors' attention with eye-popping growth and rapidly improving financials.It often feels like you've missed the boat when you sit there reading about another stock that got hot before you realized what was happening, but you haven't -- Hims & Hers is still a magnificent buy for long-term investors today.I'll detail why the ...

Hims & Hers Health, Inc. (HIMS) could be a solid addition to your portfolio given a notable revision in the company's earnings estimates. While the stock has been gaining lately, the trend might continue since its earnings outlook is still improving.Analysts' growing optimism on the earnings prospects of this company is driving estimates higher, which should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term ...

Key PointsHealthcare stocks are mainly known for massive growth once you add a bit of tech to them. Hims & Hers stock is the most attractive name in the space for all the right reasons.No competitor even comes close to the way analysts feel about it.5 stocks we like better than Ulta BeautyInvesting in healthcare stocks may not seem very exciting. This group of low-beta stocks serves as a defensive area of the consumer staples sector without much growth or activity. That is, of course, until technology comes ...

The New York Stock Exchange with a Hims & Hers Health, Inc banner is pictured as a person runs past in the Manhattan borough of New York City, New York, January 21, 2021.Hims & Hers Health, the online provider of treatments for erectile dysfunction and hair loss, had its best day on the stock market since its debut three years ago after quarterly results beat estimates and the company said it expects to deliver its first full year of profitability in 2024.Shares of Hims & Hers soared 32% to $13.48 as of Tue ...

Financial Data and Key Metrics - Revenue increased 65% year-over-year to $872 million in 2023 [17] - Subscribers grew 48% year-over-year to over 1.5 million by the end of 2023 [18] - Achieved first quarter of positive net income in Q4 2023, with net income of $1.2 million [43] - Adjusted EBITDA increased 68% quarter-over-quarter in Q4 2023 to almost $21 million [35] - Gross margins expanded to 83% in Q4 2023 and 82% for the full year, up almost 4 points year-over-year [34] Business Line Data and Key Metrics - Personalized offerings adopted by over 30% of subscribers by year-end 2023 [21] - Hers dermatology subscribers opted for personalized solutions more than 75% of the time, while nearly 100% of weight loss subscribers chose personalized treatments [25] - Over 85% of orders fulfilled through affiliated pharmacies by the end of 2023 [28] - Emerging categories like Hers dermatology, mental health, and weight loss are expected to each deliver over $100 million in revenue by 2025 [38] Market Data and Key Metrics - The company serves over 100 million individuals in the U.S. alone across its core specialties [20] - The company is targeting a long-term adjusted EBITDA margin of 20% to 30%, with expectations to reach low to mid-teens by 2027 [60] - Marketing as a percentage of revenue is expected to be in the mid-30s to low-40s by 2030 [60] Company Strategy and Industry Competition - The company is focused on expanding its portfolio of personalized solutions and improving the efficiency of affiliated pharmacies [55] - The strategy includes leveraging AI capabilities to inform new solutions and match users with the right treatments [37] - The company aims to bring tens of millions of users onto its platform, targeting mass-market pricing and convenience [42] - The company is confident in its ability to drive marketing leverage over time, with expectations of 1 to 3 points of marketing leverage per year starting in 2024 [64] Management Commentary on Operating Environment and Future Outlook - The company expects revenue in the range of $1.17 billion to $1.2 billion for 2024, representing a year-over-year increase of 34% to 38% [57] - Adjusted EBITDA for 2024 is expected to be between $100 million and $120 million, with an adjusted EBITDA margin of 9% at the midpoint [57] - The company is on track to achieve its 2025 targets of $1.2 billion in revenue and $100 million in EBITDA one year early [22] - The company is focused on removing barriers to treatment, such as lack of awareness, accessibility, and affordability, and expects personalization to be key in 2024 [27] Other Important Information - The company released its first-ever shareholder letter, available on its website [13] - The company uses non-GAAP financial measures, with reconciliation tables provided in the press release and shareholder letter [15] - The company ended 2023 with $221 million in cash and short-term investments, up over $41 million from the end of 2022 [55] Q&A Session Summary Question: Pricing Actions and Market Dynamics (George Hill, Deutsche Bank) - The company evaluates pricing actions based on experimentation and optimization of lifetime value analysis, rather than comparing to external factors [6][7] - The company is focused on leveraging scale and efficiency to pass value back to consumers over time [10] Question: Gross Margin Trajectory (Korinne Wolfmeyer, Piper Sandler) - Gross margins are expected to expand in 2024, with a long-term target of 75% [9] - The company is actively looking for ways to pass efficiencies back to consumers, but this will be a multiyear journey [10] Question: Emerging Categories and Marketing Spend (Allen Lutz, Bank of America) - The company is seeing strong adoption of personalized offerings in emerging categories like Hers dermatology and weight loss, with high retention rates [65] - Marketing spend is increasingly becoming semi-fixed, with expectations of greater leverage in 2024 and beyond [61] Question: Retention Rates and User Base (Daniel Grosslight, Citigroup) - The company is focused on maintaining a payback period of less than a year for customer acquisition costs [72] - Personalized solutions are driving higher retention and stickiness on the platform [87] Question: Weight Loss Product Offering (Glen Santangelo, Jefferies) - The company is offering personalized weight loss treatments at $70 per month, targeting underlying causes of weight gain [129] - The company expects GLP-1s to contribute meaningful growth in the coming years [130] Question: Free Cash Flow and Capital Deployment (Jailendra Singh, Truist Securities) - The company generated $47 million in free cash flow in 2023 and ended the year with $221 million in cash and short-term investments [142] - The company is focused on internal investments in affiliated pharmacies and personalized solutions, with potential for opportunistic M&A [136] Question: Gross Margin and Pricing Strategy (Michael Cherny, Leerink Partners) - The company is targeting a long-term gross margin in the mid-70s, with a focus on mass-market pricing and segmented offerings [166] - The company is running experiments to determine the optimal pricing mix to pass value back to consumers [153] Question: Subscriber Growth and Product Adoption (Ivan Feinseth, Tigress Financial Partners) - The company has seen rapid adoption of personalized treatments, with over 30% of subscribers on the platform using personalized offerings [170] - The company is focused on expanding its subscriber base and innovating with multi-condition treatments [159]

Shares of Hims & Hers Health Inc. rallied after hours on Monday, after the online wellness platform said 2024 would be its first year of positive net income and forecast first-quarter and full-year sales that were above expectations. That forecast came after the telehealth company — which offers health consultations and sells hair-loss, weight-loss and anxiety treatments, as well as sexual-health drugs like Viagra, through its Hims and Hers websites — reported its first-ever quarter of positive net income.H ...

Financial Performance - Revenue for the full year 2023 was $872.0 million, representing a 65% increase year-over-year[1] - Total revenue for Q4 2023 was $246.6 million, a 47% increase from $167.2 million in Q4 2022[7] - Total revenue for the year ended December 31, 2023, was $872 million, a 65% increase from $526.9 million in 2022[28] - Net income for Q4 2023 was $1.2 million, compared to a net loss of $(10.9) million in Q4 2022[7] - Net loss for the year was $23.5 million, an improvement from a net loss of $65.7 million in 2022[31] - The company reported a net income (loss) as a percentage of revenue of (3%) for the year ended December 31, 2023, compared to (12%) in 2022[36] Subscriber Growth - Subscribers reached 1.5 million by the end of Q4 2023, a 48% increase year-over-year[3] EBITDA and Cash Flow - Adjusted EBITDA for Q4 2023 was $20.6 million, up from $3.9 million in Q4 2022[7] - Adjusted EBITDA guidance for full year 2024 is projected to be between $100 million and $120 million[15] - Free Cash Flow for the full year 2023 was $47.0 million, compared to $(33.8) million in 2022[7] - Free Cash Flow for Q4 2023 was $10,785,000, a significant improvement from a negative Free Cash Flow of $(9,332,000) in Q4 2022[38] - Net cash provided by operating activities for the year ended December 31, 2023, was $73,483,000, compared to $(26,531,000) in 2022[38] Margins and Expenses - Gross margin for the full year 2023 was 82%, compared to 78% in 2022[7] - Monthly Online Revenue per Average Subscriber for Q4 2023 was $53, a 4% decrease from Q4 2022[3] - Operating expenses for the year totaled $744.4 million, up from $477.4 million in 2022, with marketing expenses increasing to $446.4 million[28] - Stock-based compensation for the year ended December 31, 2023, was $66,080,000, an increase from $42,817,000 in 2022[36] - Depreciation and amortization for the year ended December 31, 2023, was $9,515,000, compared to $7,474,000 in 2022[36] - Acquisition-related costs for the year ended December 31, 2023, totaled $3,016,000, up from $1,192,000 in 2022[36] Assets and Liabilities - Cash and cash equivalents at the end of the period were $96.7 million, up from $46.8 million at the end of 2022[31] - Total assets increased to $441.2 million in 2023, compared to $366.3 million in 2022[27] - Total liabilities rose to $97.2 million, up from $54.6 million in 2022[27] - Stockholders' equity increased to $344 million, compared to $311.7 million in 2022[27] Future Outlook - The company expects full year 2024 revenue to be in the range of $1.17 billion to $1.20 billion[1] - Future cash outflows are expected to be similar to the adjustments presented, impacting future results[37]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to ____________ HIMS & HERS HEALTH, INC. (Exact name of registrant as specified in its charter) | Delaware | 001-38986 | | 98-1482650 | | --- | --- | --- | ...

Cecilie_Arcurs/E+ via Getty Images A few months ago, we wrote an article about Hims & Hers Health (NYSE:HIMS) titled: "Hims & Hers: 3 Reasons To Buy This Potential Growth Stock". In that article, we made the case that the stock was incredibly undervalued when compared to the company's growth opportunity and TAM over the long term. Since then, the stock has rallied more than 50%, as we were lucky enough to catch nearly the exact bottom with our article: Seeking Alpha However, while HIMS's market opportun ...