Key Takeaways
- Shares of HIMS climbed 7% following the announcement of Eli Lilly GLP-1 medication integration
- Platform providers can now prescribe Zepbound vials, KwikPen, and Foundayo through LillyDirect pharmacy
- The partnership comes after a similar arrangement with Novo Nordisk for Wegovy access
- J.P. Morgan launched coverage with “Overweight” rating and set a $35 price objective
- Analysts forecast revenues climbing from $2.3B in 2025 to above $3.2B by 2027, with projected EBITDA of $414M
Shares of Hims & Hers Health surged 7% Thursday following the telehealth provider’s announcement that it would integrate weight management medications from Eli Lilly into its platform.
Hims & Hers Health, Inc., HIMS
Medical professionals operating within the Hims & Hers ecosystem now have authorization to prescribe Zepbound vials, KwikPen devices, and Foundayo. Patients can fill these prescriptions via the LillyDirect pharmacy network, with transparent self-pay pricing available to platform users.
The integration provides healthcare providers on the platform with a streamlined pathway to deliver FDA-cleared GLP-1 medications to their patients.
This Eli Lilly collaboration arrives on the heels of a deal unveiled last month with Novo Nordisk. That agreement enabled Hims & Hers members to obtain Wegovy injectable medications and oral formulations.
Combined, these partnerships signal a strategic realignment in the company’s approach to weight management services in the United States. According to the company, this transformation responds to increasing consumer demand and evolving market conditions surrounding GLP-1 therapies.
The weight management offering encompasses round-the-clock care team availability, customized nutritional guidance, ongoing clinical monitoring, and community-based support through the Weight Loss network.
Hims & Hers emphasizes its commitment to providing diverse therapeutic alternatives customized to each patient’s unique medical background and wellness objectives.
Wall Street Weighs In: J.P. Morgan Launches Bullish Coverage
The equity received additional momentum Friday when J.P. Morgan launched research coverage with an “Overweight” recommendation and established a $35 valuation target.
Analysts identified the Novo Nordisk collaboration as a pivotal moment for the weight-loss business unit, noting it mitigates regulatory exposure associated with compounded GLP-1 products while expanding access to brand-name medications.
J.P. Morgan forecasts HIMS will surpass 100,000 Wegovy prescriptions monthly, which would generate approximately $350–$400 million in annualized revenue from that single product line.
The investment bank also identified peptide-based treatments as a significant long-term growth catalyst. Should U.S. regulatory authorities approve mass compounding for multiple peptides, Hims & Hers’ proprietary manufacturing capabilities could position it favorably against competitors.
Financial Projections and Future Trajectory
J.P. Morgan anticipates revenues expanding from $2.3 billion in 2025 to surpass $3.2 billion by 2027, with EBITDA reaching $414 million. The company has publicly committed to maintaining annual revenue growth exceeding 20% through 2030.
Revenue acceleration is anticipated to resume in the latter half of 2026 as emerging specialties achieve scale and branded product offerings enhance customer lifetime value metrics.
Nevertheless, challenges persist. The equity ranks among the most heavily shorted in its sector. Market participants cite concerns including decelerating growth rates, escalating customer acquisition expenses, and intensifying competition from Amazon and telehealth competitor Ro.
J.P. Morgan recognized these headwinds but argued the current market valuation underestimates the company’s expansion prospects.
HIMS currently supports approximately 2.5 million subscribers spanning weight management, sexual wellness, and dermatology services. Its vertically integrated infrastructure—encompassing medical practitioners, pharmacy operations, and manufacturing facilities—was identified by J.P. Morgan as a fundamental competitive advantage.
At the time of writing, Novo Nordisk (NVO) was up 5.53% and Eli Lilly (LLY) was down 2.84% on the day.
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