Hims & Hers Celebrated Its Eli Lilly Deal, Then Lost a Quarter of Its Value in a Week
Hims & Hers (HIMS) shares fell 25.67% last week, despite a deal with Eli Lilly (LLY) announced on November 6. HIMS reported Q3 revenue of $890.37M, up 48.65%, but margins dropped to 57% from 74%. Lilly's Q3 revenue rose 38.61% to $24.397B, and it raised its full-year outlook to $91B-$92B. HIMS's subscriber base shrank by 100,000 to 2.8M, and it cut full-year Adjusted EBITDA guidance to $257M-$277M.
How this was made
The 30-second read
Why it matters
The earnings miss and guidance cut drive immediate price weakness, while the Lilly partnership may provide a longer‑term growth catalyst.
Market read
Hims' earnings miss and guidance cut are the primary market‑moving event; Lilly's stock is largely unaffected.
What to watch
Potential upside from future Zepbound and Foundayo sales and the strategic alignment with Lilly may support a longer‑term rebound.
Background
Hims & Hers announced a partnership with Eli Lilly on Nov 6 to expand access to Zepbound and Foundayo. The Q3 earnings release follows that announcement.
Ticker impact
Hims reported Q3 loss, missed earnings expectations and cut full-year Adjusted EBITDA guidance to $257M-$277M.
likely downward pressure as investors price in weaker earnings and lower guidance
The earnings miss and guidance reduction are fresh, material facts that typically trigger sell‑offs in the short term.
Market effects
Highlights weakness in the telehealth segment and may pressure other small‑cap health‑tech stocks.
Limited to U.S. equity markets; no broader regional effect.
Minimal global impact beyond the niche telehealth sector.
Counterpoint
If the partnership with Lilly yields revenue upside later, the short‑term sell‑off could be overblown.
Key entities
- companyHims & Hers
Telehealth firm that partnered with Eli Lilly and reported Q3 results.
- companyEli Lilly
Pharma partner in the Zepbound/Foundayo deal; mentioned but not the primary subject.
