At last glance, shares of Hims & Hers Health Inc (NYSE:HIMS) are up 0.5% to trade at $15.91, after the wellness company announced its $1.15 billion acquisition of Australian digital health company Eucalyptus. Also sharing plans to expand globally, this much-needed boost comes shortly after a lawsuit from Novo Nordisk, which alleged patent infringement.
Shares of HIMS have suffered choppy price performance following its Feb. 19 record high of $72.98. In fact, in the past nine months the equity has shed 90% and now sits near 17-month lows. Even if today's gains hold, the stock will only mark a second win in 14 sessions.
The digital pharma stock sports a 14-day Relative Strength Index (RSI) of 10.2 -- deep within "oversold" territory. This suggests a short-term bounce may have already been in the cards.
Short interest rose 14.4% during the past two reporting periods, and now accounts for roughly 37.5% of the stock's available float. It would take more than three days for short sellers to repurchase these bearish positions, at HIMS' average daily trading rate.
