May 20, 2024 - Health

Hims & Hers says it will offer GLP-1 weight-loss drugs, shares surge

A line chart that displays the daily stock price of Hims & Hers Health from January 2 to May 20, 2024. The price fluctuates between $8.32 and $18.6, with a notable increase in late February, reaching a peak of $16.73 in March. The price then declines to $11.26 in early May before rising again to $18.6 by May 20.
Data: Yahoo Finance; Chart: Axios Visuals

The financial promise of weight-loss drugs is giving another company a boost: This time it's Hims & Hers.

Zoom in: The telehealth company's stock soared over 27% Monday after it said it would begin selling compounded versions of the GLP-1 injections that are soaring in popularity.

  • The treatments will be offered for $199 monthly, which "includes unlimited medical consultations with a licensed provider" and must be prescribed based on what is "medically appropriate and necessary for each patient," the company said.

Flashback: Hims & Hers CEO Andrew Dudum told Axios in 2023 that the company viewed weight-loss drugs as an "exciting space" and that "it's not a question of will Hims & Hers have a weight offering — it's really just a question of when and how."

The intrigue: Hims & Hers can offer the so-called compounded version of the drugs due to their appearance on the FDA's drug shortages list, Bloomberg noted.

  • Drugs like Novo Nordisk's Wegovy and Eli Lilly's Zepbound have been in short supply, with both companies scrambling to ramp up production.

What to watch: When supplies stabilize, "Hims & Hers plans to make branded options available to customers," the company said.

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