Shares of Hims & Hers Tumble 23% After FDA Says semaglutide is no longer in shortage

Shares of Hims & Hers Health Tumbled more than 23% on Friday after the US Food and Drug Administration announced That the shortage of semaglutide injection products have been resolved.

Semaglutide is the active ingredient in Novo Nordisk‘S Blockbuster Weight Loss Drug Wegovy and Diabetes Treatment OzEMPIC. Thos medicines are part of a class of drugs called GLP-1s, and Demand for the Treatments have exploded in recent years. As a result, digital health companies such as Hims & Hers have been prescibing compounded semaglutide as an alternative for patients who are navigating Volatil Supply Hurdles and Insurance Obstacles.

Compounded Drugs are Custom-Made Alternatives to Brand-Name Drugs Designed To Meet a Specific PATINEDS Needs, and Compounders are Allowed to Products them when them was when-names are in in shortageThe FDA Doesn’T review The safety and efficacy of compounded products.

Hims & Hers Began Offering Compounded Semaglutide to Patients in mayAnd it Owns Compounding Pharmacies that Produce The Medications.

Compounded Medications are typically Much Cheaper Than his branded counterparts. Hims & hers sels compounded semaglutide for less than $ 200 per month, while ozepic and wegovy bot cost Around $ 1,000 per month without insurance.

The fda said Friday that it will start taking action against compounders for violations in the next 60 to 90 days, depending on the type of facility, in order to “Avoid Unnecessory Disrupting to PATRATATION to PATRATATION.

“Now that the fda has determined the drug shortage for semaglutide has been resolved, we will continue to offer access to personalized treatments as allowed by law to meet Patient Needs,” Hims Dudum Posted Friday on x“We’re also closely monitoring potential future shortages, as Novo Nordisk Stated Two Weeks ago That it would continue to have ‘capacity limitations’ and’ expertly content content Related Drug Shortage Notifications. ”

Him & Hers’ Weight Loss Offerings have been a massive hit with investors. Shares of the company climbed more than 200% last year, and the stock is alredy up more than 100% this year despite Friday’s move.

Even before it added compounded glp-1s to its portfolio, the company said in its 2023 fourth -Quarter earningsCall that it expects its weight loss program to brings in more than $ 100 million in revealed by the end of 2025.

Despite the turbulent regulatory landscape, Hims & hers has shown no signs of slowing down.

On Friday, the company announced It has acqured a Us-based peptide facility that will “further verticalize the company’s long-term ability to deliver personalized medications.” HIMS & Hers will explore advances Across Metabolic Optimization, Recovery Science, Biological Resistance, Cognitive Performance and Preventive Health Through company said,

That Move Comes Just Days after Hims & Hers also boght Trybe labsThe new jersey-based at-heart lab testing facility. Trybe labs will allow hims & hers to Perform at-Home Blood Draws And more comprehensive pretreatment testing.

Hims & hers did not disclose the terms of either deal.

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