In the first quarter, Hims & Hers Health Inc (NYSE:HIMS) reported impressive results that surpassed analyst expectations and drove up its stock price in early trading. The strong earnings season saw key analysts raising their targets and maintaining a positive outlook on the company’s performance.
Piper Sandler analyst Korinne Wolfmeyer raised her Neutral rating on the stock to $13 and highlighted the company’s impressive growth. Hims & Hers Health reported total revenue of $278.2 million, representing a 46% year-on-year growth and beating Street expectations of $270.4 million. Additionally, the company beat on adjusted EBITDA, driven by SG&A leverage, with management raising their revenue and adjusted EBITDA guidance for 2024.
Truist Securities also emphasized a beat and raise quarter driven by strong subscriber growth, increasing penetration of personalized solutions, and efficiency improvements. Subscribers grew by 41% to 1.709 billion, with plans to expand personalized solutions in established and newer specialties.
Shares of Hims & Hers Health had risen by 5.97% to $12.34 at the time of publication on Tuesday. The company’s strong quarter and positive analyst expectations are contributing to the stock’s upward movement in early trading as investors continue to invest in this fast-growing sector leader.
In summary, shares of Hims & Hers Health Inc (NYSE:HIMS) were climbing in early trading after reporting upbeat results for the first quarter during an exciting earnings season. Piper Sandler analyst Korinne Wolfmeyer maintained a Neutral rating but raised her price target from $11 to $13 due to impressive SG&A leverage, while Truist Securities emphasized strong subscriber growth and increased penetration of personalized solutions driving the beat and raise quarter.
The stock had risen by 5.97% at the time of publication on Tuesday, with management raising their revenue and adjusted EBITDA guidance for 2024 due to these positive factors contributing to its upward movement in early trading as investors continue to invest in this fast-growing sector leader.
