U.S. stocks surged, but it fell 13% — $HIMS ’s earnings report sent it through the floor
Binance perpetuals are at $22.37, down 13.30% over 24 hours, with an intraday low of $20.63 and about $11.55 million in 24-hour trading volume.
On Monday, the three major U.S. stock indexes posted their biggest single-day gains since April. $BTC was around $74,287, down 0.43%, and $ETH was around $2,102, down 0.98%. The broader market was basically flat — $HIMS was the one heading down.
The earnings disaster was the trigger: Q3 net loss of $33 million (-$0.14 per share), versus market expectations of a profit of about $13.9 million; revenue of $890.4 million, up 49% year over year but slightly below expectations of $893 million; gross margin fell to 57% from 74% a year earlier; subscribers declined by about 100,000 quarter over quarter to 2.8 million; and full-year adjusted EBITDA guidance was cut for the third time, to just $257–277 million.
It fell 11.8% to $22.94 by Monday’s U.S. market close, its lowest closing price since May 19. It continued to slide after hours, and Binance perpetuals briefly touched an intraday low of $20.63.
It’s not all bad news: revenue is still growing 49%; the company has just reached a sales partnership with Eli Lilly for the GLP-1 drug Zepbound; Peptides+ is set to launch at the end of the month; and Stanford neuroscientist Andrew Huberman has joined the board. Retail investor sentiment has, in fact, shifted to extremely bullish.
But the risks are clear: earnings quality is deteriorating, guidance has been cut three times, and subscriber numbers have declined quarter over quarter for the first time. The stock is down about 29% year to date and about 44% over the past 12 months. Perpetual open interest is only about $700,000, liquidity is thin, and volatility could be amplified.
What to watch next: U.S. market sentiment around tonight’s 10:00 p.m. CST release of October CPI; whether the $20.63 low holds and the price can reclaim Monday’s $22.94 closing level; and the progress of Peptides+’ launch at the end of the month.
At this level, do you think the earnings-driven bad news is fully priced in and a rebound is coming, or will it keep falling to find a bottom?
For informational purposes only; this does not constitute investment advice.
Binance perpetuals are at $22.37, down 13.30% over 24 hours, with an intraday low of $20.63 and about $11.55 million in 24-hour trading volume.
On Monday, the three major U.S. stock indexes posted their biggest single-day gains since April. $BTC was around $74,287, down 0.43%, and $ETH was around $2,102, down 0.98%. The broader market was basically flat — $HIMS was the one heading down.
The earnings disaster was the trigger: Q3 net loss of $33 million (-$0.14 per share), versus market expectations of a profit of about $13.9 million; revenue of $890.4 million, up 49% year over year but slightly below expectations of $893 million; gross margin fell to 57% from 74% a year earlier; subscribers declined by about 100,000 quarter over quarter to 2.8 million; and full-year adjusted EBITDA guidance was cut for the third time, to just $257–277 million.
It fell 11.8% to $22.94 by Monday’s U.S. market close, its lowest closing price since May 19. It continued to slide after hours, and Binance perpetuals briefly touched an intraday low of $20.63.
It’s not all bad news: revenue is still growing 49%; the company has just reached a sales partnership with Eli Lilly for the GLP-1 drug Zepbound; Peptides+ is set to launch at the end of the month; and Stanford neuroscientist Andrew Huberman has joined the board. Retail investor sentiment has, in fact, shifted to extremely bullish.
But the risks are clear: earnings quality is deteriorating, guidance has been cut three times, and subscriber numbers have declined quarter over quarter for the first time. The stock is down about 29% year to date and about 44% over the past 12 months. Perpetual open interest is only about $700,000, liquidity is thin, and volatility could be amplified.
What to watch next: U.S. market sentiment around tonight’s 10:00 p.m. CST release of October CPI; whether the $20.63 low holds and the price can reclaim Monday’s $22.94 closing level; and the progress of Peptides+’ launch at the end of the month.
At this level, do you think the earnings-driven bad news is fully priced in and a rebound is coming, or will it keep falling to find a bottom?
For informational purposes only; this does not constitute investment advice.
