Hims Daily (May 12, 2025)

🚨 TRUMP SLASHES DRUG PRICES BY 30-80%

May 12, 2025

Today: +$3.25 (+6.25%)
YTD: +$31.03 (+128.33%)
Q2: +$25.66 (+86.84%)

🚨 COMING SOON — (1) new bull/base/bear price targets, (2) a fresh Q2 revenue prediction, and (3) a special report on the state of insider ownership. Upgrade to paid for access.

What’s Happening

After spiking to nearly $59 shortly after the market open, HIMS spent most of the day in the $55s and closed the day at $55.21 (+6%)
- Nearly 60M shares changed hands (~2x the 90‑day average), as traders digested morning euphoria.
Trump’s executive order to slash drug prices plus a 90‑day U.S.-China tariff détente lifted the entire market, with the NASDAQ up more than +4% on the day.
- Some see Trump’s EO on drug pricing as a tailwind for Hims: it mandates “most favored nation” pricing — cutting prescription drug costs by 30–80% — and directs HHS to accelerate DTC drug sales
- The bear case is that lower branded drug prices could chip away at HIMS’ price-based advantage
Short‑squeeze chatter intensified. Ortex now shows HIMS short interest at ≈34‑36% of float, and Interactive Brokers’ borrow fee hit 0.97% (3× in 10 days), sparking heavy call buying at $60 and above as retail continues to bet on forced covering in coming days/weeks 🤯