what happened to hims stock — 2025 collapse explained

Hims & Hers (HIMS) stock — What happened to HIMS stock?

Short description: Hims & Hers Health, Inc. (NYSE: HIMS) experienced large share‑price volatility in 2025. The swings were driven primarily by changing FDA treatment of semaglutide/GLP‑1 compounding, the end of a partner collaboration, legal developments, workforce and operational changes, and quarterly earnings that missed market expectations. If you're asking "what happened to hims stock", this article summarizes the timeline, causes, financial impact, company response and investor implications.

Background

Hims & Hers Health, Inc. (ticker HIMS) is a consumer telehealth company offering online diagnosis and prescriptions across sexual health, dermatology, weight‑loss therapies (including compounded GLP‑1 formulations), mental health and related services. Its model mixes direct‑to‑consumer subscriptions, an e‑commerce pharmacy/fulfillment arm and wholesale or distribution channels. Many investors asked "what happened to hims stock" after the company’s 2025 events tied to GLP‑1 access and partner relationships.

Executive summary of 2025 stock events

By mid‑2025 HIMS shares had declined sharply after a sequence of regulatory and commercial developments. As of May 30, 2025, according to Reuters, FDA actions restricting mass compounding of semaglutide and related court rulings created uncertainty for Hims’ GLP‑1 revenue. In June 2025 a collaboration with Novo Nordisk was publicly ended, triggering a sudden >30% intra‑session drop in HIMS shares. On August 4, 2025, Hims reported Q2 2025 results that missed revenue expectations and disclosed subscriber churn tied to GLP‑1 customers, prompting further declines. For readers searching "what happened to hims stock", the answer centers on regulatory and partner risk, plus an earnings miss and operational effects.

Chronological timeline of major events

February–March 2025 — FDA announcements and early regulatory pressure

As of March 2025, multiple news outlets reported the FDA reassessing shortage designations related to branded GLP‑1 drugs (semaglutide products such as Wegovy/Ozempic). As of March 2025, according to industry coverage, removal or narrowing of shortage status reduced the regulatory rationale for broad mass compounding — a service that had supported part of Hims’ weight‑loss product volume. These regulatory shifts were among the first triggers prompting investors to ask: "what happened to hims stock"?

March–May 2025 — Lawsuits and court rulings relevant to compounding

Through spring 2025 federal and state court filings and industry suits (including actions in Texas and filings from advocacy groups and branded manufacturers) created legal uncertainty about large‑scale compounding of GLP‑1 molecules. As of May 2025, reporting indicated mixed court outcomes that left compounding legality and FDA enforcement scope unclear — elevating regulatory risk for companies selling compounded GLP‑1 copies.

May 2025 — FDA compounding restrictions take effect; operational adjustments

As of May 22, 2025, news coverage reported FDA guidance and actions that curtailed mass compounding of semaglutide copies. Hims announced operational adjustments and, as of May 30, 2025, Reuters reported the company would reduce staff by roughly 4% as it shifted fulfillment and product mix away from unrestricted compounding. Investors again queried "what happened to hims stock" amid these operational impacts.

June 2025 — Novo Nordisk ends collaboration / sudden large share drop

In June 2025, coverage reported Novo Nordisk ended a collaboration with Hims related to weight‑loss access. As of June 2025, according to multiple outlets, that termination coincided with a rapid, >30% intraday decline in HIMS shares as markets re‑priced the loss of a partner relationship and potential branded access. The market reaction answered the immediate question of "what happened to hims stock": a sharp one‑day selloff after partner news.

August 4, 2025 — Q2 2025 earnings and revenue miss

As of August 4, 2025, Hims released second‑quarter 2025 results. According to the company release and Reuters reporting, Hims reported total revenue of approximately $544.8 million for the quarter, adjusted EBITDA of about $82 million and net income near $42.5 million, with approximately 2.4 million subscribers. The company missed revenue estimates and reported GLP‑1‑related customer attrition and lower revenue‑per‑subscriber vs. expectations. Following the release, HIMS shares fell further in after‑hours trading, and outlets like CNBC reported declines in the 9–14% range on the earnings miss.

Primary causes of the share‑price moves

• Regulatory environment for compounded GLP‑1 drugs: FDA shortage decisions and compounding restrictions materially reduced a previously high‑growth product category for Hims. This regulatory change was the initial and persistent driver of volatility.
• Termination of a partnership with Novo Nordisk: losing that collaboration removed potential branded product pathways and intensified investor concern over competitive access.
• Company financial performance vs. expectations: Q2 2025 revenue misses and subscriber impacts accelerated selling pressure.
• Market sentiment and risk re‑pricing: investors re‑assessed valuation multiples for telehealth firms exposed to GLP‑1 compounding revenue.
• Operational impacts: workforce reductions, fulfillment changes and product re‑mix costs added execution risk.

Financial performance and key metrics

As of August 4, 2025, according to Hims’ Second Quarter 2025 Financial Results and Reuters coverage:

• Total revenue: approximately $544.8 million (Q2 2025)
• Adjusted EBITDA: roughly $82 million (Q2 2025)
• Net income: about $42.5 million (Q2 2025)
• Subscribers: approximately 2.4 million active subscribers
• After the Q2 report, management noted declines in revenue‑per‑subscriber tied to weight‑loss product churn and said the company would continue to manage margins while pivoting product mix.

These quantifiable metrics were central to analysts’ re‑valuation of HIMS and helped explain why many investors asked "what happened to hims stock" following the quarterly release.

Company response and strategic pivots

Hims announced multiple responses to the disruption in compounded GLP‑1 supply:

• Operational pivoting toward personalized dosing strategies, alternate oral or non‑compounded therapies, and a broader set of weight‑loss medication offerings.
• Greater emphasis on hormone health, longevity testing, lab services and verticalizing pharmacy and testing capabilities to reduce dependence on a single product class.
• Cost reductions and a modest workforce trimming (about 4% as reported on May 30, 2025) to preserve cash flow while adjusting fulfillment.

Management reiterated an intention to navigate regulatory uncertainty and pursue multi‑year growth levers. For investors wondering "what happened to hims stock", these statements were intended to show a path to revenue stabilization.

Legal and regulatory issues

The key legal and regulatory themes affecting Hims in 2025 were:

• Compounding pharmacy rules vs. branded drug exclusivity: changes to FDA shortage lists and guidance affected whether pharmacies could legally compound mass quantities of semaglutide copies.
• Litigation and court rulings: state and federal litigation created an uncertain enforcement landscape, heightening business risk for companies relying on compounded GLP‑1 sales.
• Potential future enforcement from branded manufacturers: branded drugmakers have incentive to defend exclusivity, creating a litigation and regulatory risk that could persist.

All of these factors fed directly into market pricing and answered part of the question "what happened to hims stock" in 2025.

Market reaction and analyst commentary

Market reaction was swift and sizable at several inflection points:

• A >30% intraday fall around the June 2025 partner termination announcement.
• Single‑digit to mid‑teens percentage declines around the August 4, 2025 Q2 earnings miss (reported declines in the 9–14% range by major outlets).

Analyst coverage varied: some cautioned on GLP‑1 exposure and short‑term execution risk, while others highlighted long‑term subscriber growth potential and the company’s efforts to expand vertically. No analyst commentary removed regulatory uncertainty as the central valuation risk.

Operational and workforce impacts

Reported operational impacts included a modest workforce reduction (~4% cut announced May 30, 2025), adjustments to pharmacy fill processes and potential delays as the company shifted product mix. Hims also paused or revised certain scale compounding initiatives in response to the changing regulatory environment.

Investor implications and outlook

Key investor risks identified in 2025 included regulatory exposure to compounding policy, partner and access risk, margin pressure from product re‑mix, and short‑term subscriber churn. Potential recovery scenarios included successful pivots to personalized dosing, expansions into other healthcare verticals, and stabilization of GLP‑1 access through new regulatory outcomes or innovative product offerings. This risk/reward balance is central to understanding "what happened to hims stock" and how investors might view future prospects.

See also

• GLP‑1 drugs (semaglutide, tirzepatide)
• Novo Nordisk
• FDA drug shortage policy
• Telehealth business models

References

• As of May 30, 2025, according to Reuters: reporting on FDA compounding guidance and Hims workforce reduction.
• As of August 4, 2025, according to Hims & Hers investor release: "Second Quarter 2025 Financial Results" (revenue, adjusted EBITDA, net income, subscriber counts cited above).
• As of August 4, 2025, according to Reuters/CNBC: coverage of the revenue miss and market reaction.
• As of June 2025, assorted industry reporting on the Novo Nordisk collaboration termination and the related share drop.
• As of March–May 2025, industry analyses and coverage (e.g., trade press and financial outlets) on FDA shortage decisions, compounding litigation and implications for telehealth pharmacy models.

(Reported dates and figures above are cited to major business news outlets and the company’s Q2 2025 filing and releases.)

If you were searching "what happened to hims stock", this entry gives the timeline, main causes, quantified impacts and the company's stated strategic response. For deeper company filings, investor presentations and live market access, consider reviewing Hims & Hers SEC filings and using a regulated broker or exchange; Bitget offers markets and wallet tools for traders seeking access. Explore more to stay updated.