Hims & Hers Health is expected to report Q3 2026 revenue of $892.88 million and EPS of $0.07, as the stock's current price of $26.00 remains below the $32.82 average analyst target. The primary focus for investors is the company’s strategic shift in its weight-loss segment, specifically the recently announced direct partnership with Eli Lilly to distribute branded GLP-1 medications like Zepbound.
While this move addresses regulatory concerns and fuels subscriber growth, it has contributed to significant gross margin compression, which dropped to 63.8% in Q2. Investors are looking for evidence that the surge in obesity drug demand can scale profitably and return the company to positive free cash flow following a negative second quarter.