Why Hims & Hers Health (HIMS) Is Rallying Today

Hims & Hers Health (HIMS) is jumping 15% after the company announced that it had made an acquisition which will allow it to launch at-home lab testing.

Hims & Hers owns and operates an online health and wellness platform.

A nurse in a telehealth platform talking with a patient on video call for consultation.

More Information about HIMS’ New Offering

By acquiring Sigmund NJ LLC, known as Trybe Labs, Hims & Hers will be able “to support at-home blood draws and more comprehensive whole body testing,” HIMS reported. Moreover, the transaction will enable HIMS to offer many more treatments to its customer base. Among the new areas into which the company will expand following the deal are “low testosterone, perimenopausal and menopausal support,” the firm reported.

In the wake of the acquisition, Hims and Hers’ customers will be able to use a blood lancet “to learn more about their hormone levels, cardiac risk, stress markers, cholesterol, liver function, thyroid function, and prostate health,” the company noted.

Additionally, healthcare providers will be able to use the data derived from the blood tests to develop “personalized treatment(s), HIMS reported.

Finally, data derived from the tests will advance the company’s efforts to develop AI-enhanced healthcare offerings, according to HIMS.

The Recent Price Action of HIMS Stock

In the last month, the shares have soared 128%, while they have rallied 210% in the last three months.

While we acknowledge the potential of HIMS, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than HIMS but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ ALSO 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock

Disclosure: None. This article is originally published at Insider Monkey.