Citigroup has changed its rating on Hims & Hers Health (HIMS) from Buy to Neutral while increasing its price target to $20 from $16. The decision is impacting the company’s stock value, and analysts Julie Hyman and Josh Lipton are discussing it on Yahoo Finance. For more in-depth analysis and market updates, viewers can watch the full episode of Market Domination.
The analysts at Citigroup have a positive long-term outlook on Hims & Hers despite downgrading their rating. They believe that the company’s plan to sell GLP one products through their platform presents a potential revenue opportunity of $30 billion with an average monthly selling price of $230. However, the stock has already seen significant growth, leading analysts to suggest a more cautious approach.
Citigroup believes that there is limited room for further upside due to recent market conditions and uncertainties surrounding the economics and sustainability of GLP one products. As a result, they have chosen not to recommend buying the stock at this time, which has caused it to decline by 7%. Overall, Citigroup remains optimistic about Hims & Hers’ long-term prospects but advises investors to watch for further developments before making any changes to their positions.
In conclusion, Citigroup’s decision to change its rating on Hims & Hers Health from Buy to Neutral reflects its cautious approach towards the stock market’s current conditions and uncertainty surrounding GLP one products’ economics and sustainability. While investors should keep an eye on further developments before making any changes in their positions, it’s important to note that Citigroup remains optimistic about the company’s long-term prospects.
