Pomegra
Hims & Hers Stock Falls 3% After Hours on Earnings Miss
Why is Hims & Hers stock down today?
Hims & Hers (HIMS) stock fell 3% after hours on Monday to $22.22 following a third-quarter earnings miss, as a collapsing gross margin led the company to cut its 2026 profit forecast.
Key numbers
| Gross margin | 57%vs 74% a year ago |
|---|---|
| Revenue | $890.4M+49% YoY |
| EPS | -$0.14vs +$0.06 expected |
| 2026 adj. EBITDA outlook | $257–277Mfrom $275–325M |
| Q4 revenue outlook | $875–895Mvs $955.1M expected (per [6]) |
| After-hours price | $22.22-3.1% from $22.94 close |
What happened
Hims & Hers (HIMS) stock fell 3% after hours on Monday to $22.22 following a third-quarter earnings miss, as a collapsing gross margin led the company to cut its 2026 profit forecast. The company lost 14 cents a share, while analysts expected a 6-cent profit. Its gross margin (what is left of each sales dollar after product costs) fell to 57% from 74%, as it sold more lower-profit weight-loss drugs and international products. It cut its 2026 operating-profit forecast (adjusted EBITDA) to $257–277 million from $275–325 million. Shares are down about 14.5% from Friday's close.
Why it matters
Hims & Hers is a reminder that fast growth does not always mean profit: sales rose 49% from a year ago, but the company swung to a $33 million loss. Selling more branded weight-loss drugs, including Eli Lilly's Zepbound and Novo Nordisk's Wegovy, brings in sales but leaves less profit on each one. The company also lost about 100,000 subscribers from the prior quarter.
Who this affects
- MarketbearishMedium impact
- Telehealth investors face fresh profit worries; negative for sentiment.
- CompanybearishHigh impact
- Shareholders face a profit-forecast cut and fewer subscribers; bad.
- CompetitorsneutralLow impact
- Branded-drug partners Lilly and Novo gain a bigger sales channel.
- IndustrymixedMedium impact
- Branded weight-loss drugs bring lower profit per sale for telehealth.
Hims & Hers vs Doximity, Teladoc, LifeMD
How we got here
Hims & Hers guides 2026 adjusted EBITDA to $275–325M with Q2 results.
Stock closes at $22.94, down 11.8% from $26.00, before results.
Q3 results released after the close; shares slip to $22.22 after hours.
Shares trade down 3.7% at $22.10 in premarket.
What to watch
- Whether gross margin steadies after management said the decline should moderate.Q4 2026
- Subscriber trend after a 100,000 quarterly drop to 2.788 million.Q4 2026
- International revenue against the raised target of at least $650 million for 2026.2026-12-31
Educational content only. Not investment advice.
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