12 Best Booming Stocks to Invest in Now

6. Hims & Hers Health, Inc. (NYSE:HIMS)

Number of Hedge Fund Holdings: 31

Year-to-Date Performance as of January 30: 40.45%

Hims & Hers Health, Inc. (NYSE:HIMS) is a direct-to-consumer telehealth company that provides prescription-based treatments for hair loss, sexual health, mental health, and dermatology. Through its digital platform, the company operates a subscription-based model that connects patients with licensed healthcare professionals for virtual consultations.

Hims & Hers Health, Inc. (NYSE:HIMS) has been benefiting from a regulatory exemption that allows companies to sell compounded versions of FDA-approved drugs during shortages. Taking advantage of this, the company has been offering a compounded version of semaglutide, the active ingredient in Novo Nordisk’s blockbuster weight-loss drugs such as Wegovy and Ozempic. By providing a lower-cost alternative, Hims & Hers Health, Inc. (NYSE:HIMS) has been able to attract price-sensitive consumers. The weight-loss drug market remains a massive opportunity, and the company’s direct-to-consumer model, competitive pricing, and ability to adapt to changing market conditions have helped sustain confidence in its long-term growth potential.

Hims & Hers Health, Inc. (NYSE:HIMS) ability to demonstrate strong financial performance has also led to a bullish sentiment among many investors. Furthermore, the company’s focus on personalized health services and its ability to innovate and expand into new categories, such as diabetes management within the weight loss segment, position it well to capture unmet demand in the healthcare market.