Hims & Hers: Here are the risks with the stock after Novo Nordisk terminated its partnership
Herb Greenberg, 'Herb on the Street' author, joins 'Power Lunch' to discuss Greenberg's thoughts on the terminated partnership between Novo Nordisk and Hims & Hers.
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Business Wire
3 hours ago
- Business Wire
Securities Fraud Investigation Into Novo Nordisk A/S (NVO) Announced – Investors Who Lost Money Urged To Contact The Law Offices of Frank R. Cruz
LOS ANGELES--(BUSINESS WIRE)-- The Law Offices of Frank R. Cruz announces an investigation of Novo Nordisk A/S ('Novo Nordisk' or the 'Company') (NYSE: NVO) on behalf of investors concerning the Company's possible violations of federal securities laws. IF YOU ARE AN INVESTOR WHO LOST MONEY ON NOVO NORDISK A/S (NVO), CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING A CLAIM TO RECOVER YOUR LOSS. What Is The Investigation About? On June 23, 2025, Novo Nordisk announced that it was ending its partnership with Hims & Hers Health, Inc. ('Hims') and its weight loss drug, Wegovy, would no longer be available through Hims, stating that Hims 'has failed to adhere to the law which prohibits mass sales of compounded drugs under the false guise of 'personalization' and are disseminating deceptive marketing that put patient safety at risk.' On this news, Novo Nordisk's stock price fell $4.05, or 5.5%, to close at $69.72 per share on June 23, 2025, thereby injuring investors. Contact Us To Participate or Learn More: If you purchased Novo Nordisk securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us: The Law Offices of Frank R. Cruz, 2121 Avenue of the Stars, Suite 800, Century City, California 90067 Call us at: 310-914-5007 Email us at: info@ Visit our website at: Follow us for updates on Twitter at If you inquire by email, please include your mailing address, telephone number, and number of shares purchased. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Yahoo
3 hours ago
- Yahoo
This growth stock just crashed 35%! Time to buy it for my Stocks and Shares ISA?
One growth stock stuck out like a sore thumb when I opened my Stocks and Shares ISA watchlist yesterday (23 June). That was Hims & Hers Health (NYSE: HIMS), which was down almost 35%, registering it's worst-ever day. This is a share I've been watching for a while, but haven't bought yet. Even after yesterday's crash, it's still up 86% over 12 months. Could this crash be an opportune time for me to nip in and open a position? Hims & Hers is a vertically integrated pharmacy and telehealth platform focused on personalised wellness. It offers prescription and over-the-counter treatments for hair loss, mental health, skincare, sexual health, and more. In 2024, the firm's revenue soared 69% year on year to $1.5bn. However, this isn't a jam-tomorrow growth story, because both net income and free cash flow more than quadrupled in Q1 of this year. Subscribers grew 38% to 2.4m. Driving some of this eye-catching growth has been compounded GLP-1 weight-loss drugs, which the firm began selling on its platform in 2024. In May, it announced a partnership with pharmaceutical giant Novo Nordisk to sell its blockbuster Wegovy treatment. Since that announcement, Hims & Hers stock has been rocketing. Until yesterday that is, when Novo terminated the collaboration. In a statement, the firm pulled no punches, accusing Hims of 'illegal mass compounding and deceptive marketing'. It used the words 'knock-off drugs' a number of times in relation to 'personalised' doses of semaglutide that Hims continues to sell. Semaglutide is the active ingredient in Wegovy. More seriously, Novo alleges that potentially unsafe active ingredients are being sourced from foreign suppliers in China, thereby putting patients at risk. Essentially then, there are three allegations here: The continued selling of copycat versions of Wegovy, which Novo says violates regulations. Deceptive marketing of these as 'personalised' treatments. Semaglutide sourced from unapproved Chinese suppliers. In response, Hims' CEO Andrew Dudum wrote on X: 'We refuse to be strong-armed by any pharmaceutical company's anticompetitive demands that infringe on the independent decision making of providers and limit patient choice.' Dudum said Novo's management is 'misleading the public', and that the platform will continue offering access to different weight-loss treatments, including semaglutide. What to make of all this? Well, there could obviously be regulatory compliance risk here. Lawsuits appear inevitable, and there's likely at least some brand damage. Meanwhile, Novo will keep selling Wegovy with two of Hims' rivals, namely Ro and LifeMD. So the firm could lose share in the booming weight-loss space, which isn't ideal. However, there's more to the platform than just Wegovy. It was already growing strongly before GLP-1s, and its opportunity to aggregate demand in some very large health categories appears undimmed to me. It's also expanding into Europe via a recent acquisition. Hims' disruptive direct-to-consumer platform aims to be cheaper and more personalised than the traditional healthcare model. Therefore, I think shareholders should expect further industry resistance, like Uber got from taxi firms. I'd like management to reassure investors about the supply chain accusations. Ideally, this will happen when the firm reports Q2 earnings in August, if not before. But if the stock keeps falling in the coming days, I will open a starter position. The post This growth stock just crashed 35%! Time to buy it for my Stocks and Shares ISA? appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool Ben McPoland has positions in Novo Nordisk and Uber Technologies. The Motley Fool UK has recommended Novo Nordisk and Uber Technologies. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Motley Fool UK 2025 Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Wire
6 hours ago
- Business Wire
HIMS INVESTIGATION ALERT: Robbins Geller Rudman & Dowd LLP Launches Investigation into Hims & Hers Health, Inc. and Encourages Investors with Substantial Losses or Witnesses with Relevant Information to Contact Law Firm
SAN DIEGO--(BUSINESS WIRE)--The law firm of Robbins Geller Rudman & Dowd LLP is investigating potential violations of U.S. federal securities laws involving Hims & Hers Health, Inc. (NYSE: HIMS) focused on whether Hims & Hers and certain of its top executives made false and/or misleading statements and/or failed to disclose material information to investors. If you have information that could assist in the Hims & Hers investigation or if you are a Hims & Hers investor who suffered a loss and would like to learn more, you can provide your information here: THE COMPANY: Hims & Hers is a telehealth company that provides prescription medications, over-the-counter medications, and personal care products. THE REVELATION: On June 23, 2025, Novo Nordisk A/S announced that it 'terminates collaboration with Hims & Hers Health, Inc. due to concerns about their illegal mass compounding and deceptive marketing.' On this news, the price of Hims & Hers stock fell more than 34%. ABOUT ROBBINS GELLER: Robbins Geller Rudman & Dowd LLP is one of the world's leading law firms representing investors in securities fraud and shareholder litigation. Our Firm has been ranked #1 in the ISS Securities Class Action Services rankings for four out of the last five years for securing the most monetary relief for investors. In 2024, we recovered over $2.5 billion for investors in securities-related class action cases – more than the next five law firms combined, according to ISS. With 200 lawyers in 10 offices, Robbins Geller is one of the largest plaintiffs' firms in the world, and the Firm's attorneys have obtained many of the largest securities class action recoveries in history, including the largest ever – $7.2 billion – in In re Enron Corp. Sec. Litig. Please visit the following page for more information: Past results do not guarantee future outcomes. Services may be performed by attorneys in any of our offices.
