Hims & Hers Health (HIMS) saw its stock surge 7% on Thursday after announcing the expansion of its telehealth platform to include Eli Lilly's GLP-1 treatments, including Zepbound vials, KwikPen, and Foundayo. Prescriptions can now be filled through LillyDirect pharmacy with self-pay options available.
This expansion follows a prior deal with Novo Nordisk to offer Wegovy injections and oral treatments, marking a strategic pivot in the company's weight-loss program. The program now includes 24/7 care team access, personalized nutrition plans, and clinical follow-ups.
J.P. Morgan initiated coverage with an "Overweight" rating and a $35 price target, highlighting that the Novo Nordisk partnership reduces regulatory risk and opens access to branded treatments. The bank projects HIMS could exceed 100,000 monthly Wegovy prescriptions, contributing $350-$400 million in annual revenue. J.P. Morgan estimates total revenue growing from $2.3 billion in 2025 to over $3.2 billion by 2027, with EBITDA of $414 million.
In a separate development, Eli Lilly's stock fell about 4% after early prescription data showed Foundayo's launch lagging behind Novo's oral Wegovy. IQVIA data revealed Foundayo recorded 3,707 prescriptions in its second week, compared to Wegovy's 18,410 in its first full week. Analysts noted that while early data is preliminary, it suggests a slower ramp for Lilly's product.
Deutsche Bank analyst James Shin said analysts would have preferred stronger early momentum, while Truist's Srikripa Devarakonda described Foundayo's prescription levels as "modest." Despite this, some analysts pointed to Foundayo's dosing flexibility as a potential advantage over Wegovy, which requires fasting.
