HIMS Stock Sinks as FDA Gives Hims & Hers Peptide the Cold Shoulder

Hims & Hers (HIMS) stock tanked on July 24 after an FDA advisory panel declined to recommend adding emideltide to the agency’s 503A Bulks List, which governs which substances licensed U.S. pharmacies may use to compound custom peptide treatments. 

The same panel had voted narrowly in favor of four other peptides’ (including BPC-157) addition to the list, sending HIMS up more than 10%, but the emideltide rejection “renewed doubts” about the regulatory path for its peptide business.

At the time of writing, Hims & Hers shares are down more than 25% versus their recent high.

Why Did the Panel Vote Against Emideltide Addition?

Panel members cited insufficient safety profile, potential manufacturing inconsistencies, and a lack of compelling clinical data proving superior efficacy over standard FDA-approved alternatives for their rejection of emideltide. 

While the committee’s recommendation is non-binding, the FDA typically aligns its final decision with the panel’s verdict, which signals strict restrictions on emideltide for compounding.  

Note that the announcement made HIMS stock crash through its 50-day moving average (MA) on Friday, indicating the bearish momentum could continue in the near term. 

What the Recommendation Means for HIMS Shares

The FDA panel’s recommendation is decidedly bearish for HIMS shares as it threatens one of the company’s fastest-growing, high-margin revenue opportunities. 

Hims & Hers has increasingly leaned on personalized compounded therapies to expand beyond its core telehealth offerings and capture surging demand for weight-loss and wellness treatments. 

A final FDA decision in line with the panel’s verdict will restrict licensed pharmacies from using emideltide, limiting the firm’s ability to broaden its peptide portfolio and launch new customized therapies.

In short, the setback raises regulatory uncertainty around Hims & Hers’ compounding strategy, potentially slowing future product expansion, constraining sales growth, and weighing on investor confidence in its long-term wellness ambitions.

What’s the Consensus Rating on Hims & Hers Stock?

Heading into Friday, Wall Street had a consensus “Hold” rating on Hims & Hers stock, with a mean price target of nearly $30. 

But it is reasonable to assume that downward revisions will follow now that the FDA panel has voted against adding emideltide to the agency’s 503A Bulks List.