Why Hims & Hers Stock Just Got Destroyed

The Motley FoolFeb 9, 2026 5:02 PM

Key Points

Hims & Hers Health announced it will sell Ozempic lookalike pills for $49 a month last week.
The FDA objected Friday, and Novo Nordisk sued for patent infringement this morning.
10 stocks we like better than Hims & Hers Health ›

Hims & Hers Health (NYSE: HIMS) stock crashed 25% through 10:45 a.m. ET Monday morning after an eventful weekend.

On Thursday, the telehealth company announced it would begin selling a compounded version of Wegovy in pill form, for $49 per month. Hims & Hers doesn't manufacture "Wegovy." Novo Nordisk (NYSE: NVO) does, charging $149 per month for Wegovy (Ozempic) in pill form, and $199 injectable.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »

Novo wasn't at happy about this, and said it planned to sue Friday. That same day, the U.S. Food and Drug Administration said it would also crack down on Hims & Hers, potentially cutting off access to ingredients the company needs to manufacture Ozempic copycats or seizing Hims & Hers products.

By Saturday, Hims agreed it will not sell its Ozempic lookalike pill after all.

GLP-1 Semaglutide weight loss injector pens in a box.

Image source: Getty Images.

Hims & Hers surrenders. Novo refuses to accept.

So what happened here? Hims & Hers gambled the FDA would allow it to get away with copying Novo Nordisk's GLP-1 weight loss drug, riding Novo's advertising coattails -- and undercutting Novo on price. If it gambled and won, this would have been a tremendous victory for Hims.

Instead, it gambled and lost.

It now seems clear Hims will not fight the combined forces of the FDA and Novo's lawyers. Unfortunately for Hims, it may not have a choice -- because this morning, Novo sued Hims & Hers, requesting a permanent ban not only on Hims' Ozempic pill, but on any compounded versions of its drugs.

What this means for Hims & Hers stock

Novo's lawsuit demands the court enforce its "'343 Patent" on "semaglutide and the pharmaceutical products containing it." If it wins the lawsuit, Hims & Hers won't be allowed to compound any kind of GLP-1 weight loss drugs using semaglutide.

Hims may have just loss its GLP-1 business.

Should you buy stock in Hims & Hers Health right now?

Before you buy stock in Hims & Hers Health, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Hims & Hers Health wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $443,299!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,136,601!*

Now, it’s worth noting Stock Advisor’s total average return is 914% — a market-crushing outperformance compared to 195% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.

See the 10 stocks »

*Stock Advisor returns as of February 9, 2026.

Rich Smith has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Hims & Hers Health. The Motley Fool recommends Novo Nordisk. The Motley Fool has a disclosure policy.

Disclaimer: The information provided on this website is for educational and informational purposes only and should not be considered financial or investment advice.