Key Takeaways
- HIMS stock climbed as much as 13% following an FDA advisory committee’s 8-6 vote supporting the addition of BPC-157 to the 503A Bulks List
- The decision enables state-licensed compounding pharmacies to manufacture BPC-157, creating potential new revenue opportunities for Hims
- The favorable vote defied expectations ā prior FDA briefing documents had raised safety questions and suggested a likely rejection
- Citi analysts boosted their price target to $35 from $28 while warning that near-term gains may be capped before August 10 earnings
- Canaccord Genuity maintained its Buy rating with a $40 target, viewing the peptide reclassification as a bullish development
Shares of Hims & Hers Health rallied up to 13% Thursday following a surprise FDA advisory panel decision to support relaxed regulations on BPC-157, a widely-used peptide compound. The stock was hovering near $32.75, pushing the company’s market capitalization to approximately $7.6 billion.
Hims & Hers Health, Inc., HIMS
The FDA’s Pharmacy Compounding Advisory Committee delivered an 8-6 vote, with one member abstaining, favoring BPC-157’s inclusion on the 503A Bulks List. This classification permits state-licensed compounding facilities to create customized formulations of the peptide for individual patients.
The decision surprised market participants. Pre-meeting FDA briefing documents had highlighted potential safety issues and appeared to lean toward rejection of the compound.
Thursday’s vote marked the opening salvo in a series of seven peptide evaluations scheduled over two days. The panel also delivered an 8-6 recommendation for KPV, another peptide compound, for identical classification.
The committee’s decision contradicted the FDA’s internal reviewers, who had previously advised against approving any of the seven substances under consideration.
Implications for Hims Business Model
The regulatory development could establish a fresh revenue channel for Hims. The telehealth company has built a substantial wellness-focused customer base, and consumer interest in peptides like BPC-157 has accelerated rapidly.
Earlier in 2025, Hims purchased a California-based peptide production facility, establishing internal manufacturing capabilities for these compounds. The company had delayed product rollouts while awaiting definitive FDA regulatory clarity.
Canaccord Genuity maintained its Buy recommendation with a $40 price objective, characterizing the committee’s decision as supportive of their peptide reclassification investment thesis. The firm suggested this development could tap into a substantial addressable market for Hims.
Canaccord’s research team highlighted that HIMS delivered outperformance versus major market indexes by several hundred basis points following the advisory committee’s decisions.
Analyst Community Reaction
The Street’s response remains mixed. Citi’s Daniel Grosslight elevated his price objective to $35 from $28 while cautioning that investor expectations have already risen substantially ahead of the company’s August 10 earnings release.
Grosslight indicated limited upside potential in the immediate term, especially when accounting for the Eucalyptus acquisition’s contributions separately. He identified elevated customer churn and a transition toward monthly subscription models as potential headwinds for revenue expansion.
Truist Securities maintained its Hold stance with a $23 target, pointing to ongoing regulatory ambiguity. BofA Securities increased its target to $37 while keeping a Neutral rating, expressing concerns about retention metrics for new oral Wegovy subscribers.
The broader Wall Street consensus stands at Moderate Buy ā comprising four Buy ratings and eight Hold ratings issued over the past three months. The mean price target of $30.14 suggests approximately 8% downside from present trading levels.
In separate corporate news, the company announced that Chief Accounting Officer Irene Becklund will depart in October 2026. CFO Yemi Okupe will assume accounting responsibilities during the transition period while management searches for a successor.
Wall Street forecasts full-year EPS of $0.39, with analysts anticipating Hims may exceed Q2 2026 revenue projections when financial results are released on August 10.
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