Hims & Hers Health (HIMS): Future Growth and Stock Outlook

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Introduction.

We will delve deeper into the business, unique strengths, and future prospects of HIMS & Hers Health (HIMS), a fast-growing healthcare stock.

HIMS & Hers Health (HIMS) is an industry force to be reckoned with, specializing in telehealth and sensitive personalized medicine.

Its high growth potential and innovative business model have been highly evaluated, and there are high expectations for its further development in the future.

What is HIMS & Hers Health (HIMS) and what is its business?

Hims & Hers Health, Inc. (HIMS) is headquartered in San Francisco, California, USA,Provider of telehealth and wellness products.

Founded in 2017, through an online platform,Provides prescription and over-the-counter drugs and health-related products such as skin care, hair care, and mental health directly to consumersThe company is doing so.

Particularly,Emphasis on personalized care and user-specific medical solutionsThe company is currently expanding its services in the U.S., U.K., and other countries.

The company's services span a wide range of areas including sexual health, skin treatment, mental health, and weight loss drugs.
The user isYou can consult directly with a licensed health care professional on the platform and receive prescriptions and treatments online.

In recent years, the company has also added weight loss drugs using GLP-1 injections to its lineup, increasing its presence in the diet and mental health markets in particular.

Himes & Haas are,Adopt a subscription-based revenue modeland regularly provide prescription drugs to increase repeat business.
They also provide accessible and affordable health care services for consumers through the use of generic drugs and rapid delivery.

Company information for Hims & Herds Health is below.

• Company Name:: Hims & Hers Health, Inc.
• Date of Establishment: 2017
• Head Office LocationSan Francisco, California, U.S.A.
• Name of Representative:Andrew Dudum : Andrew Dudum
• Official Site: https://www.forhims.com
• Main Businesses: Provider of telehealth and wellness products. Through its online platform, the company offers a wide range of health-related services and products directly to consumers, including prescription and over-the-counter medications, skin care, sexual health, mental health, and weight loss products.

What are some of the key products and services offered by HIMS & Hers Health (HIMS)?

Hims & Hers Health's (HIMS) main products include prescription and over-the-counter medications, skin care, hair care, mental health care, and sexual health products, which are delivered directly to consumers online.
In addition, in recent years,High-demand weight loss treatments such as GLP-1 injections, which are specialized for weight loss, are also being developed.The company is doing so.

The company's platform allows users to consult online with a licensed health care professional and receive a treatment plan tailored to their individual health needs.

These services include hair growth treatments for men (minoxidil and finasteride), birth control pills for women, as well as drugs for sexual dysfunction and anti-aging products.
He also provides counseling and group therapy in the area of mental health, offering mental health support.

What is the business model of HIMS & Hers Health (HIMS)?

Hims & Hers Health (HIMS) uses a direct-to-consumer (D2C) business model based on telehealth to provide pharmaceuticals and health care services online.
The model is unique in that it allows users to conduct medical consultations via an online platform and provides easy access to prescription and over-the-counter medications, skin care products, and mental health care products.

The company's business model revolves around subscription servicesand are able to distribute prescription drugs and update care plans on a regular basis.
In particular, the company offers a range of products that address diverse health needs in the areas of hair care, mental health, and sexual health, encouraging customers to return for more.

This subscription-based recurring delivery model ensures stable revenues while also increasing customer loyalty.

Further,Maximizes the strength of telehealth because it can provide services in remote areas and in areas where access to medical care is difficult.
By emphasizing affordability and convenience and providing personalized medical care, the company has attracted a wide range of users.

Who is Hims & Hers' target clientele?

The customer base targeted by Hims & Hers Health is primarily a consumer group with the following characteristics

Adults with a strong interest in health and wellness

The company focuses on categories such as hair care, skin care, sexual health, and mental health, and its primary customers are adults interested in maintaining their appearance and managing their mental health. For example, the company offers products that focus on specific health needs, such as hair growth treatments, erectile dysfunction treatments, and skin care products.

Time-constrained and convenience-seeking segment

The company targets a segment of the population that has busy schedules and cannot find time for in-person consultations at medical facilities. The convenience of an online medical consultation and scheduled delivery model are favored by these busy consumers.

People living in inaccessible areas

People who live in areas far from urban areas and have difficulty accessing healthcare facilities are also an important target group. Through telehealth, the company is playing a role in reducing disparities in access to healthcare by providing medical services across geographic barriers.

Privacy-conscious demographic

Because it specializes in sensitive areas such as sexual health and mental health, many people use the service online to resolve issues that are difficult to discuss in person. The ability to receive the medical care they need while ensuring privacy is a reason for their support.

In this way, Himes & Herds targets an adult demographic that is busy, values convenience and privacy, and has specific health needs.

Why is Himes & Haas Health in the spotlight?

Hims & Hers Health is notable because of its rapid growth in the telehealth market and its progressive approach focused on personalized medicine.
In particular, the following three factors can be cited as the background for the focus

A wide range of personalized medical services

Hims & Hers offers specialized medical services in sexual health, hair care, skin care, and mental health care, enabling users to be treated according to their individual needs.
For example, in the mental health field, anonymous group therapy has been introduced to allow users easy access to care.
In recent years, GLP-1 injections have also been added as a weight loss treatment to meet diversifying health needs.

Improved convenience and accessibility

By utilizing telehealth, medical services can be provided around the clock, transcending regional and time constraints that are difficult for traditional medical facilities.
This model is establishing itself as the new standard for telemedicine, bringing great convenience to local residents who have difficulty accessing medical facilities and to users with busy lifestyles.

Subscription model with stable revenues

Hims & Hers uses a subscription model to increase customer repeat business through ongoing pharmaceutical supply and support.
The company has built a stable revenue base, supported by the fact that customers can easily receive pharmaceuticals through regular deliveries. In particular, the company differentiates itself from its competitors by offering personalized service and affordable prices.

These factors have combined to make Hims & Hers Health a fast-growing and highly regarded company in the telehealth market by its users.

What is the trading market?

Hims & Herds Health (HIMS) is listed on the New York Stock Exchange (NYSE). Its ticker symbol is "HIMS."
The company went public in January 2021 following a merger with Oaktree Acquisition Corp, a special purpose acquisition company (SPAC), and has been trading on the NYSE since then.

What are the sectors, industries, and themes to which HIMS & Hers Health (HIMS) belongs?

sector

Healthcare:.Hims & Hers Health is part of the healthcare sector and its primary business is the provision of healthcare services through telehealth.
In this sector, the emphasis is on increasing access to healthcare through the widespread use of telemedicine and digital technology.
Hims & Hers addresses these needs by using online medical care to provide efficient and easily accessible healthcare services.

type of industry

Personal Care & Wellness ProductsHims & Hers is categorized under Personal care and health products.
The company offers product lines that address individual needs in sexual health, hair care, mental health care, and weight management products, which users can access online. Through telemedicine, the company works with licensed physicians in each field to provide medicines and care directly to consumers.

Themes belonging to

Digital Healthcare & Personalized Medicine:.Hims & Hers is a high-profile company in the digital healthcare space, focusing on the convergence of online platforms and personalized medicine.
Providing customized treatment to meet the diverse health needs of users, and helping to improve access to medical care, especially in remote areas. Through these efforts, the company aims to promote the integration of technology and medical services to improve the efficiency and convenience of healthcare.

Dividends?

HIMS & Hers Health (HIMS) does not currently pay a dividend.

What is the size and growth potential of the industry of which HIMS & Hers Health (HIMS) is a part?

Hims & Hers Health belongs toTelehealth and Telemedicine Industryis a rapidly growing sector, with particularly significant expansion in the U.S. and throughout North America.

This telehealth and telemedicine industry is,As of 2023, the global market size will reach approximately $120 billion and is projected to grow to $285.7 billion by 2028The company has been

Compound annual growth rate (CAGR) of approximately 23.2and is driving growth, particularly in the management of chronic diseases and the increasing demand for real-time telemedicine.

Telehealth is evolving along with technological innovation, with widespread use of smartphones and expanding Internet connectivity supporting its use.
In addition, the demand for telehealth has increased since the Corona disaster, as consumers in remote areas and with busy lifestyles find it easier to access medical services.
The demand for mental health support is particularly strong in areas including the management of mental illness and chronic conditions, and is expected to grow as part of telehealth.

Who are some of HIMS & Hers Health's (HIMS) competitors?

Hims & Hers Health's (HIMS) main competitors are.

• Teladoc Health, Inc [TDOC]:.Teradoc Health is a leading telehealth company providing comprehensive virtual care, with strengths in real-time video medical care and chronic disease management; like Hims & Hers, it focuses on mental health support and general medical care, competing particularly in chronic disease and mental health management .
• American Well Corporation [AMWL]:.American Well (Amwell) provides customized telehealth solutions for hospitals and healthcare companies. Unlike the D2C model of companies like Hims & Hers, the company specializes in B2B offerings, partnering with healthcare organizations to provide medical services, but shares the market for comprehensive telehealth services.
• GoodRx Holdings, Inc. [GDRX]:.GoodRx is a drug price comparison platform and company that helps users purchase prescription drugs at lower prices; while Hims & Hers offers prescription drugs directly in a subscription format, GoodRx offers a prescription drug discount service and competes on accessibility GoodRx offers discounted prescription drugs and competes on accessibility.
• Doctor On Demand by Included Health, Inc.Doctor on Demand is a platform specializing in online medical and mental health care, offering on-demand, video call-based medical services; like Hims & Hers, it competes in the mental health care and general practice areas.

All of these companies are competitive players for Hims & Hers in the telehealth and digital healthcare market, and have much in common, especially in the areas of telemedicine and personalized medicine.

What are the differentiating factors and advantages of HIMS & Hers Health (HIMS) over its competitors?

The differentiating factors and advantages of Hims & Hers Health (HIMS) over its competitors can be summarized as follows.

Utilize direct-to-consumer (D2C) model

Hims & Hers' strength in the telehealth market is its D2C model, which allows customers to access pharmaceuticals and care services directly through its online platform.
This model gives the company an advantage over other B2B telehealth companies in that it establishes direct relationships with customers and provides services quickly and affordably.

Diverse product lines and personalized medicine

The company offers a diverse product line ranging from sexual health, hair care, skin care, mental health, and weight management, providing personalized medicine tailored to the needs of the user.
Hims & Hers emphasizes customized medicine for each individual customer, and differentiates itself from its competitors by making recommendations based on individual health conditions in the provision of prescription drugs.

Increased retention through subscriptions

By adopting a subscription model, the company encourages regular customer use and achieves high retention rates. This model is particularly convenient for customers who require pharmaceuticals on a regular basis, and contributes to increased customer loyalty.
Unlike other telehealth companies, the company's strength is its stable revenue base.

Broader coverage in mental health and digital health care

Hims & Hers also offers mental health care and caters to a variety of mental health needs through online group therapy and counseling.
In particular, as the need for remote mental health support grows, the ability to respond in this area is a competitive advantage.
Another differentiating factor from other telehealth companies is the fact that customers can easily access the service on a digital platform while maintaining a high level of privacy.

These features allow Hims & Hers to differentiate and dominate in the market by addressing specialized needs while maintaining affordability and high convenience.

HIMS & HERS HEALTH (HIMS) Performance

Oscar Health's financial year ends on December 31.
The schedule for the announcement of quarterly financial results is as follows

• Q1 results: Early May
  Q2 results: around early August
  3Q results: early Nov.
  Q4 and full year results: early Feb.

First, we will review the following four indicators to perform a minimum performance analysis of HIMS & Hers Health (HIMS).

1. Sales:An indicator of a company's performance and growth.
2. Operating cash flow and operating cash flow margin:An indicator that looks at how much cash a company generates from its services. Margins are considered excellent when they are 15% of that ratio.
3. Operating Income:Profit earned by a company from its core business. An indicator to evaluate a company's performance.
4. Free Cash Flow:Free cash that a company keeps on hand. Indicates financial flexibility and business stability.
5. EPS:An indicator that looks at a company's earning power "profitability" and "growth potential" in terms of net income per share. The higher the number, the higher the profitability.

Each data is,Investing.com, ,TradingViewSee from

HIMS & HAAS (HIMS) Stock Price

View the current real-time stock price chart (TradingView) for HIMS & HERS (HIMS).

The chart shows the Relative Strength Index (RSI). Reference as an indicator of market overheating.

*An overbought indicator when the RSI exceeds 70% to 80%, and conversely, an oversold indicator when the RSI falls below 20% to 30%.

HIMS & HARDS (HIMS) Quarterly: Sales Trends

Quarterly sales forecasts and actual sales and year-on-year changes.

Sales forecasts and actual results are shown in graphs.

HIMS & HAAS (HIMS) Quarterly: Operating Cash Flow and Free Cash Flow Trends

Quarterly operating cash flow, operating cash flow margin and free cash flow.

Each transition is shown in the graph below.

HIMS & HAAS (HIMS) Quarterly: Operating Income and Operating Margin Trends

Quarterly operating income and operating margin trends.

Each transition is shown in the graph below.

HIMS & HAAS (HIMS) Quarterly: EPS Change

Quarterly EPS forecast and actual EPS.

Each transition is shown in the graph below.

HIMS & HAAS (HIMS) Full Year: Sales Trends

This is the sales forecast for the full year and actual sales and year-on-year changes.

Each transition is shown in the graph below.

HIMS & HAAS (HIMS) Full Year: Operating Cash Flow, Free Cash Flow Trends

Operating cash flow, operating cash flow margin and free cash flow for the full year.

Each transition is shown in the graph below.

HIMS & HAAS (HIMS) Full Year: Operating Income and Operating Margin Trends

The following is a trend of operating income and operating income margin for the full year.

Each transition is shown in the graph below.

HIMS & HAAS (HIMS) Full Year: EPS Trends

This is the EPS forecast and actual EPS for the full year.

Each transition is shown in the graph below.

What are the future students of HIMS & Hers Health (HIMS)?

The future of Hims & Hers Health (HIMS) is supported by several growth drivers, with positive prospects for expansion in the telehealth market. The following points are expected to contribute to the growth of Hims & Hers

Rapidly growing telehealth market

The overall telehealth market is projected to continue to expand at an annual growth rate of more than 20%.
especiallyIn North America, telemedicine is becoming increasingly popular due to rising health care costs and the increase in chronic diseases.These market conditions put Hims & Hers in a good position to enjoy sustained demand.

Diverse Product Lines and Customized Medicine

Hims & Hers includes sexual health, mental health care, and weight loss treatment,The company offers a diverse product line and personalized medicine.
In particular, weight loss treatment by GLP-1 injection is attracting attention as a new growth area,Increased demand is expected from user groups with obesity and related health issues.
This diversification of services will contribute to diversification of revenues and expansion of users.

Increase profitability and loyalty through D2C model

By adopting a subscription model, Hims & Hers has secured a stable revenue stream. The recurring service delivery and direct-to-consumer (D2C) sales model has increased customer loyalty and strengthened the company's long-term customer base.
In addition, by taking advantage of D2C's strengths, it is possible to obtain rapid feedback and apply it to service improvements, which helps maintain competitiveness.

Increased needs in the mental health care field

The demand for assistance related to mental health has been increasing every year, and the mental health care services of Hims & Hers are also expected to grow on the back of this need.
The provision of remote group therapy and counseling, in particular, helps to expand the potential customer base by reaching users in areas where it is difficult to receive direct medical care.

With these factors, Hims & Hers Health is expected to further expand and strengthen its revenue base in the telehealth industry by offering a variety of healthcare services.

HIMS & HERS Health (HIMS) Q2 FY2024 Financial Summary

• Net sales: Q2 revenue was $315.6M, up 52% YoY. Online revenue growth was the main contributor, with an increase in users and the introduction of new services.
• net incomeRecorded a net income of: $13.3 million. The company returned to profitability after a loss of $7.2 million in the same period of the previous year.
• Adjusted EBITDA: $39.3 million, a significant improvement from the previous year's $10.6 million, and improved profitability.

Key Business Indicators

• Number of users: The platform is showing steady growth with the number of users reaching approximately 1.9 million, an increase of 43% over the same period last year.
• Monthly revenue per person: Average monthly revenue was $57, up 81 TP3T from $53 the previous year.

Future Outlook

Himes & Haas revised upward its full-year 2024 sales target to $1.37 billion to $1.4 billion and adjusted EBITDA target to $140 million to $155 million.
The company expects further sales growth in the third quarter and plans to expand its user base by introducing new services.

Hims & Hers has been growing its business significantly, driven by improved profitability and an increase in the number of users. The company continues to expand its personalized health services and is expected to continue to grow.

HIMS & HERS Health (HIMS) Q3 FY2024 Financial Summary

Sales and Revenues

• Net sales: Q3 sales were $401.6M, up $77% YoY.
• net income: Net income was $75.6 million, a significant improvement from the previous year's loss of $7.6 million.
• Adjusted EBITDA: Adjusted EBITDA was $51.1 million, up $3171 TP3T from $12.3 million in the same period last year.

Order and subscriber growth

• Number of subscribers: Q3 subscribers increased by 441 TP3T y/y, reaching a total of 2 million.
• Monthly Online Revenue: Average monthly online revenue per subscriber was $67, up 24% from the same period last year.

Cash Flow

• Operating Cash Flow: Cash flow from operating activities was $85.3M, an increase of $238% over the same period last year.
• free cash flow: Free cash flow was $79.4M, an increase of $312.% YoY.

Future Guidance

• Sales forecast for full year 2024: Revised sales forecast upward to $146-$146.5 billion.
• Adjusted EBITDA Forecast: Adjusted EBITDA is expected to be in the range of $173 million to $178 million.

The company's better-than-market-expected revenue and profit results have boosted the company's earnings outlook, and the stock price rose after the results. This growth can be attributed primarily to new subscriber growth, expansion of online medical services, and more efficient cost management.

Which brokerage firm can I buy shares of HIMS & Hers Health (HIMS)?

We have listed the major brokerage firms that offer HIMS & Hers Health (HIMS) shares. At these brokerages, you can choose to invest as a CFD (Contract for Difference) as well as directly as a foreign stock.

I myself mainly use SBI Securities, but some stocks they handle may not be available for purchase. In such cases, I sometimes use CFDs at Saxo Bank Securities or IG Securities.

summary

We have delved into the details of Himes & Haas Health's business, its unique characteristics, competitive advantages, and earnings growth.

Hims & Haas has experienced rapid growth by focusing on sensitive personalized medicine in the healthcare field and incorporating a structure that is firmly grounded in user needs.

In terms of financial performance, the company is on track to return to profitability, and further growth is expected in the future.

The most recent stock price increase reflected increased demand for obesity drugs and a tight supply situation, but as supply relatively normalized, the stock price temporarily adjusted.

Nevertheless, the price has since steadily returned to normal, and we are excited about the possibility of moving on to the next stage of growth.