Hims & Hers Health (HIMS) is back in the spotlight after reporting strong year over year revenue growth and raising its 2026 sales outlook, even as fresh regulatory and legal actions intensify scrutiny of its telehealth model.

Over the past year, Hims & Hers Health has combined strong revenue updates, raised 2026 sales guidance and a string of regulatory headlines, with the stock showing a 34.15% 90 day share price return but a 27.52% decline in 1 year total shareholder return from a much higher base. This suggests long term gains remain large while recent momentum has been rebuilding.

If regulatory risk and growth stories interest you, it can be useful to compare Hims & Hers Health with other healthcare and AI driven platforms through a curated screener such as 41 healthcare AI stocks

Hims & Hers Health now trades near its analyst target, while internal estimates point to a much larger intrinsic gap. Is the recent share price jump closing in on fair value, or only catching up to it?

Most Popular Narrative: 81.6% Undervalued

Against the last close of $31.86, the most followed narrative on Hims & Hers Health argues for a fair value of $173.02, using a 7% discount rate and a long runway of growth and margin expansion to support that gap.

Over the long term (10yrs), Hims & Hers has an unusually large addressable market ahead of it. The company’s growth is driven by three reinforcing dimensions:

• Expanding market size, digital healthcare adoption continues to grow globally

• Category expansion, new offerings such as hormonal health, longevity, and sleep

• International scaling, multiple geographies already in the pipeline (e.g. Brazil, Australia)

• Growth inside of the current categories

Want to see how this multi year growth story turns into a triple digit fair value? The key ingredients are revenue compounding, rising profitability and a rich future earnings multiple. Curious which assumptions according to Deep_Insights push the model so far above today’s price? The full narrative lays out every step.

Result: Fair Value of $173.02 (UNDERVALUED)

However, this Hims & Hers Health narrative still hinges on two big swing factors: regulatory decisions on weight loss treatments and execution across new categories and geographies.

Another View on Hims & Hers Health Valuation

The user narrative argues Hims & Hers Health could be worth $173.02 per share. By contrast, the market is only pricing the stock at about 2.9x sales, which is higher than the US Healthcare industry average of 1.5x but below a peer average of 4.5x and a fair ratio of 5.5x. That mix of relative premium and implied upside raises a simple question: Is this pricing a cushion or a warning sign for new investors?

Next Steps

Mixed on Hims & Hers Health so far, or already leaning one way? Take a closer look at both sides of the story with the 2 key rewards and 1 important warning sign

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.