Why Hims & Hers Health Inc. (HIMS) Went Up On Friday?

We recently published a list of 10 Stocks Lead Friday’s Charge. In this article, we are going to take a look at where Hims & Hers Health Inc. (NYSE:HIMS) stands against other stocks that lead Friday’s charge.

The stock market finished in the green territory on Friday, albeit muted trading persisted over the lack of catalysts to fuel investing appetite.

The tech-heavy Nasdaq led gains among Wall Street’s benchmark indices, finishing up by 0.52 percent. Meanwhile, both the Dow Jones and S&P 500 ended the week eking out 0.08-percent gains.

Ten companies mirrored the broader market optimism, finishing the week with modest gains. In this article, we have identified today’s top performers and detailed the reasons behind their gains.

To come up with the list, we considered only the stocks with $2 billion in market capitalization and $5 million in trading volume.

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

Hims & Hers Health Inc. (NYSE:HIMS)

Hims & Hers rallied by 5.72 percent on Friday to finish at $34.75 apiece as investors loaded up on its shares despite the lack of catalysts to boost investing appetite.

However, its shares noticeably traded sideways based on the generally muted movement in its five-day historical price, as investors appeared to have already priced in the Food and Drug Administration’s (FDA) earlier announcement that the best-selling Wegovy and Ozempic drugs—which HIMS has been making knock-off versions of and which significantly propelled its sales to new heights—is already back in sufficient supply.

Further adding to sideways trading was Bank of America’s outlook for the company, raising its price target by $1 to $22 apiece, a figure that is 37 percent lower than its latest closing price. In addition, Bank of America also assigned an “underperform” rating on HIMS.

Last month, HIMS saw a spike in sales from the Super Bowl event, but investors started to cast doubt that it would sustain momentum due to the FDA’s exclusion of the Wegovy and Ozempic from the shortage list.

Overall, HIMS ranks 9th on our list of stocks that lead Friday’s charge. While we acknowledge the potential of HIMS as an investment, 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 as promising as HIMS but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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