Hims & Hers Health (HIMS, Financial) took a nosedive, dropping nearly 22% at 10.06am today, after the FDA announced the official end of Novo Nordisk's (NVO, Financial) weight-loss drug shortage. That's a big blow for telehealth companies like Hims & Hers, which had been riding the wave of compounded versions of these drugs sold at lower prices. With that window now shut, investors wasted no time recalibrating expectations. The stock had surged 43% in the past five days—now, those gains have evaporated as the market digests the new reality.
But Hims & Hers isn't just sitting back and taking the hit. The company just announced a strategic acquisition of a US-based peptide facility in California, doubling down on long-term supply chain control. This move is all about vertical integration—cutting out middlemen and securing production capabilities to stay ahead of shifting regulations. It builds on prior acquisitions of 503A and 503B facilities, reinforcing the company's grip on costs, quality, and availability. With personalized healthcare booming, Hims & Hers is betting big on innovations in metabolic optimization, cognitive performance, and recovery science.
The acquisition, which closed in early February, signals a major pivot toward long-term resilience. Yes, the FDA ruling hurts in the short term, but this isn't just damage control—Hims & Hers is playing the long game. As the telehealth landscape evolves, the company is positioning itself as a dominant force in personalized medicine. Investors will be watching closely to see if this gamble pays off.
