Hims & Hers falls after US judge denies injunction on Zepbound copies

Shares of telehealth firm Hims & Hers HIMS.N fall 9% to $37.2 premarket

A U.S. federal judge has denied an injunction that would have allowed compounding pharmacies to keep making copies of Eli Lilly's LLY.N popular weight-loss drug Zepbound in the U.S

The Outsourcing Facilities Association in October filed a lawsuit against the FDA over its decision to remove the drugs its shortage list, saying that it still remains in short supply

HIMS sells compounded versions of Novo Nordisk's NOVOb.CO Wegovy and Ozempic, chemically known as semaglutide

The ruling has "direct read-through to the pending semaglutide case which we also expect will go in the FDA's favor," says brokerage Citi

HIMS shares have nearly tripled in the past 12 months