Needham Upgrades Hims & Hers Stock (HIMS) after Novo Nordisk Deal Resets Weight Loss Outlook

2026-03-09 22:16:03

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Hims & Hers Health HIMS +41.04% ▲ is getting a wave of bullish attention from Wall Street after the telehealth company and Novo Nordisk NVO +1.63% ▲ resolved their legal dispute and announced a renewed commercial partnership. Needham analyst Ryan MacDonald upgraded the stock to Buy from Hold and set a $30 price target. HIMS stock gained over 41% in Monday’s trading session.

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MacDonald said the deal represents a “fundamental shift” in Hims & Hers’ weight‑loss strategy, giving the company the ability to sell commercially available Ozempic and Wegovy, including the new Wegovy pill.

He added that the partnership meaningfully changes Hims & Hers’ “overall growth algorithm,” opening the door to one of the fastest‑growing categories in consumer health.

Moreover, the analyst noted that the settlement removes a major legal overhang from Hims & Hers and unlocks a significantly larger revenue opportunity that he believes the market is still underestimating.

According to MacDonald, Hims & Hers had previously been “boxed out” of the branded GLP‑1 market due to its reliance on compounded alternatives. He said that the new partnership changes that scenario entirely.

The analyst also pointed to the Wegovy pill, which is typically cash‑pay, as a potential margin driver that could accelerate adoption and boost Hims & Hers’ long‑term growth trajectory.

Is HIMS a Strong Buy?

Turning to Wall Street, analysts have a Hold consensus rating on Hims & Hers stock based on four Buys, eight Holds, and two Sells assigned in the past three months. Further, the average HIMS price target of $25.39 per share implies 14.1% upside potential.

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