Revenue is expected to rise nearly 50% year over year, yet the stock fell almost 10% on Friday—the night before earnings, the market had already cast its vote of no confidence.
Hims & Hers $HIMS will report Q3 earnings after market close on Monday, with the conference call at 17:00 Eastern (06:00 Tuesday Beijing time). Consensus is around $0.06–$0.07 per share and revenue of about $893 million, up roughly 49% year over year. Weight loss remains the growth engine: branded weight-loss drugs and subscriber retention are supporting domestic revenue, while the acquisition of Eucalyptus has extended its international reach to the UK, Germany, Australia, Canada, and Japan. Testosterone replacement therapy is also gaining traction.
But the better the numbers look, the more visible the cracks become: last quarter, revenue of $753 million beat expectations of $699 million, yet the company lost $0.10 per share—more than the consensus loss of $0.07. Branded weight-loss drugs carry lower gross margins, and working capital is weighing on cash flow. Zacks ESP is 0.00%, with a Hold rating; the model is not betting on an earnings beat, and the company has beaten expectations only once in the past four quarters. The stock is down 23.8% over the past three months, compared with a 5.6% decline for the S&P 500.
This whale sees three possible scenarios: revenue above the $893 million consensus, earnings holding at $0.07 per share, and a clear path to gross-margin recovery on the call would mean the odds created by the selloff have paid off. If results track consensus and management talks about growth but not profits, that would be business as usual. If revenue falls below the low end of the company’s $880 million guidance, or margins come under further pressure, the three misses in the past four quarters will come back under scrutiny. Don’t chase the first after-hours move; wait for the call to break down subscriber retention and international margins. The feast is already laid out—now let’s see if they can show how weight loss turns into profit.
Hims & Hers $HIMS will report Q3 earnings after market close on Monday, with the conference call at 17:00 Eastern (06:00 Tuesday Beijing time). Consensus is around $0.06–$0.07 per share and revenue of about $893 million, up roughly 49% year over year. Weight loss remains the growth engine: branded weight-loss drugs and subscriber retention are supporting domestic revenue, while the acquisition of Eucalyptus has extended its international reach to the UK, Germany, Australia, Canada, and Japan. Testosterone replacement therapy is also gaining traction.
But the better the numbers look, the more visible the cracks become: last quarter, revenue of $753 million beat expectations of $699 million, yet the company lost $0.10 per share—more than the consensus loss of $0.07. Branded weight-loss drugs carry lower gross margins, and working capital is weighing on cash flow. Zacks ESP is 0.00%, with a Hold rating; the model is not betting on an earnings beat, and the company has beaten expectations only once in the past four quarters. The stock is down 23.8% over the past three months, compared with a 5.6% decline for the S&P 500.
This whale sees three possible scenarios: revenue above the $893 million consensus, earnings holding at $0.07 per share, and a clear path to gross-margin recovery on the call would mean the odds created by the selloff have paid off. If results track consensus and management talks about growth but not profits, that would be business as usual. If revenue falls below the low end of the company’s $880 million guidance, or margins come under further pressure, the three misses in the past four quarters will come back under scrutiny. Don’t chase the first after-hours move; wait for the call to break down subscriber retention and international margins. The feast is already laid out—now let’s see if they can show how weight loss turns into profit.
