Hims & Hers Health, Inc. (HIMS): A Bull Case Theory

We came across a bullish thesis on Hims & Hers Health, Inc. on Business Ontology’s Substack by Lorenzo Bastianelli. In this article, we will summarize the bulls’ thesis on HIMS. Hims & Hers Health, Inc.'s share was trading at $59.15 as of October 16th. HIMS’s trailing and forward P/E were 73.25 and 81.30 respectively according to Yahoo Finance.

Hims & Hers is evolving far beyond a telehealth company into what could become an AI-powered, data-driven healthcare network with powerful compounding effects. The traditional healthcare model—where doctors work in isolation and clinical learnings remain siloed—is being disrupted by Hims’ approach, which continuously aggregates structured data from every provider-patient interaction to improve outcomes for future users. As each consultation feeds back into the system, the platform becomes smarter, enabling providers to make better, faster decisions.

This creates a reinforcing network effect where more patients lead to better insights, attracting more providers and further strengthening Hims’ moat. CTO Mohamed Elshenawy envisions a unified intelligence platform automating processes like fulfillment and routing, with AI systems that “never plateau,” while CEO Andrew Dudum foresees doctors on Hims’ network being exponentially more effective than those outside it. With roughly 1,500 providers—just 0.14% of the U.S. total—the company is still early, yet its growth trajectory suggests that once it reaches critical mass, both doctors and pharmaceutical companies will have no choice but to integrate with the platform.

Hims is also deepening engagement and stickiness through its longevity strategy—combining lab testing, compounding, and proactive care to help users live longer, healthier lives under a membership model. Recent acquisitions like a blood testing lab support vertical integration, while AI agents and personalized health tools increase user engagement and trust. With surging subscription growth and expanding international reach, Hims is positioning itself to dominate preventive, data-driven healthcare—potentially transforming into a trillion-dollar longevity platform if its network effects fully materialize.

Previously we covered a bullish thesis on Hims & Hers Health, Inc. (HIMS) by Oliver | MMMT Wealth in May 2025, which highlighted the company’s breakout financial results, accelerating growth, and expanding personalized subscriptions. The company’s stock has appreciated approximately 13% since our coverage as the thesis played out. The thesis still stands, while Lorenzo Bastianelli shares a similar view but emphasizes Hims’ AI-driven healthcare network effects.

Hims & Hers Health, Inc. is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 34 hedge fund portfolios held HIMS at the end of the second quarter which was 41 in the previous quarter. While we acknowledge the potential of HIMS as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None.