Why Is HIMS Stock Surging More Than 11% After-Hours Today?

• At two meetings starting in July, independent experts at the Pharmacy Compounding Advisory Committee will rigorously evaluate each substance on its scientific merits, Kennedy said.
• Peptides are a segment that Hims expressed interest in during its last earnings call in February. 
• Peptides are frequently utilized in skincare, supplements, and specialized therapeutic treatments.

Shares of Hims & Hers Health (HIMS) closed up 14% and edged 11% higher after-hours on Wednesday as the Trump administration contemplates easing the rules around selling peptides.

Health and Human Services Secretary Robert F. Kennedy Jr. said in an X post on Wednesday that the U.S. Food and Drug Administration will remove 12 peptides from the category of drug substances with significant safety risks. The previous categorization prohibited compounding pharmacies from making versions of it.

The Rationale

At two meetings starting in July, independent experts at the Pharmacy Compounding Advisory Committee will rigorously evaluate each substance on its scientific merits using full clinical, pharmacological, and safety evidence, the Health Secretary said, adding that the action is aimed at regulating access and shifting demand away from the black market. Peptides are a segment that Hims expressed interest in during its last earnings call in February.

Following Kennedy’s post, Hims Chief Medical Office Pat Carroll applauded the move.

“Our medical team believes certain peptide therapies hold meaningful potential in helping Americans live healthier lives, and we are actively exploring how to expand access in a way that will be aligned with FDA guidance and reflects our commitment to consumer safety, transparency, and clinical excellence,” Carroll said.

Peptides are short chains of amino acids, the building blocks of proteins, used primarily to enhance skin health, build muscle, aid in weight loss, and manage medical conditions. They are frequently utilized in skincare, supplements, and specialized therapeutic treatments.

How Did Retail Traders React?

On Stocktwits, retail sentiment around HIMS stock jumped from ‘bearish’ to ‘bullish’ territory over the past 24 hours, while message volume increased from ‘low’ to ‘high’ levels.

A Stocktwits user highlighted the market demand for peptides.

Another highlighted the company’s expanding product range and expressed hopes for the stock to rally to $45, and further to $100.

According to data from Koyfin, three of the 15 analysts covering HIMS rate it ‘Buy’ or higher, while 12 rate it ‘Hold.’ The 12-month average price target on the stock is $24, representing a potential downside of about 1% from last close.

HIMS stock has lost 18% over the past 12 months. 

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