Sex sells, as savvy ad managers know. And Hims & Hers Health has relied heavily on ads for men's reproductive health products to build sales for its online drug and health products site. Its stock was up nearly 7% Thursday afternoon.
But that's just one of what the company calls on its website its list of "personalized to you" lines including weight control, hair regrowth, anxiety relief products and others.
On Thursday the Relative Strength (RS) Rating for Hims & Hers stock jumped to a terrific 92 out of a best-possible 99. It rose three points from 89 the day before. The upgraded RS Rating puts Hims & Hers among the top 8% of all stocks, regardless of industry, for price performance this past year
Hims & Hers Health's Other Rating Shine
Over 100 years of market history shows that the stocks that go on to make the biggest gains often have an RS Rating north of 80 at the beginning of a new run. The San Francisco-based company's stock far outperforms that metric.
Hims & Hers stock also holds an 80 Earnings Per Share Rating, an outstanding 96 Composite Rating and an A SMR Rating (sales + profit margins + return on equity). Additionally, its B+ Accumulation/Distribution Rating shows that institutional investors like mutual funds and university funds are fairly eager buyers of its stock.
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Hims & Hers Health showed 183% EPS growth in its most recent report, to 17 cents per share. Revenue popped 73% to $544.8 million. Although that's still outstanding, it's down from 300% higher EPS the prior quarter on a 111% rise in sales.
In May 2022, its stock dipped to 2.72 per share. Thursday afternoon Hims & Hers traded around 48 a share, a more than 1,600% increase in 3-1/4 years.
Among Top three In Its Industry
For The IBD Methodology investors, now is not an ideal time to jump in since it isn't near a proper buy zone. See if the stock is able to form a consolidation and break out. It should also be noted, too, that its stock is volatile.
It hit a peak of 72.98 in February this year, fell to a 23.97 low on April 7, then popped to a 70.43 high on July 31 before consolidating. It has a 50-day IBD average true range (ATR) rating of 6.71. The lower the number the less volatile. IBD recommends looking for stocks with a 5.0 or lower ATR.
Hims & Hers holds the No. three rank among its peers in the 37-stock Medical-Services industry group. GeneDx Holdings is the top-ranked stock in the group. The group itself has an Group RS Rating of A.
IBD's unique RS Rating identifies technical performance by showing how a stock's price action over the last 52 weeks compares to that of the other stocks in our database.
This article was created automatically with Stats Perform's Wordsmith software using data and article templates supplied by Investor's Business Daily. An IBD journalist may have edited the article.
Please follow James DeTar on Twitter @JimDeTar
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