Hims & Hers (HIMS) Steals Spotlight as Court Junks Eli Lilly Lawsuit vs 4 Telehealth Firms

We recently published 10 Power Stocks Crushing Wall Street — 7 at All-Time Highs. Hims & Hers Health, Inc. (NYSE:HIMS) is one of the best performers on Wednesday.

Hims & Hers snapped a two-day losing streak on Wednesday, adding 7.06 percent to finish at $44.46 apiece as investors turned optimistic for telehealth companies after a US judge tossed Eli Lilly’s lawsuit against Willow Health, which claimed the latter deceived customers and turned them away from its medicines.

In a 17-page decision on Friday, August 29, Judge Andre Birotte Jr. agreed with Willow Health to dismiss the lawsuit filed by Eli Lilly, but “without prejudice,” giving the latter a chance to file an appeal.

Eli Lilly filed the lawsuit against Willow Health and three other telehealth companies earlier this year, saying that the firms turned customers away from its medicines.

While Hims & Hers Health, Inc. (NYSE:HIMS) was not a party to the case, the court’s dismissal sparked hopes for companies selling compounded versions of branded weight loss drugs.

It can be learned that Hims & Hers Health, Inc. (NYSE:HIMS) was among the companies that sold knock-off versions of weight loss drugs amid the shortage of the treatment over the past few years.

Just recently, Novo Nordisk—another branded weight loss drug manufacturer—terminated its partnership with Hims & Hers Health, Inc. (NYSE:HIMS) over allegations that the latter failed to adhere to the law, which prohibited mass sales of compounded drugs under the false guise of “personalization.”

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READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.