by We recently compiled a list of the Why these 15 stocks will skyrocket in 2025. In this article, we’ll take a look at where Hims & Hers Health, Inc. (NYSE:HIMS) against the other stocks.
Stock gains always get people talking, and 2025 is no exception. Markets have been rising higher for some time now due to a shift towards technological innovation. The pace could be slowing after two years of significant returns, but investors have regained confidence after the Stargate project was announced.
Small and mid-cap companies have started to pick up the pace lately, landing on investors’ radar as mega-cap stocks now trade at bloody valuations. These companies have greater growth potential than their mega-cap rivals, which explains the sudden surge in interest.
Smaller and mid-cap stocks have faced challenges in recent years as corrections and rate hikes weighed on market sentiment. However, with inflation looking more contained and Trump pushing for more rate cuts, things are looking even better for these mid-cap stocks.
Methodology
For this article, I screened last year’s best-performing stocks in the $5 billion to $20 billion market cap range. Stocks I’ve recently discussed are excluded from this list.
I will also mention the number of hedge fund investors in these stocks. Why are we interested in the stocks that hedge funds invest in? The reason is simple: our research shows that we can outperform the market by imitating the best stock picks from the best hedge funds. Our quarterly newsletter strategy selects 14 small- and large-cap stocks each quarter and has returned 275% since May 2014, beating the benchmark by 150 percentage points. (see more details here).
A nurse on a telehealth platform talks to a patient via video call for consultation.
Number of hedge fund holders in Q3 2024: 31
Hims & Hers Health (NYSE:HIMS) is a telehealth company. It offers prescription and over-the-counter medications.
HIMS stock is up significantly so far in 2025, partly as analysts have raised their expectations for revenue growth and profitability. This is due to the launch of new products. Additionally, Needham & Company reiterated its buy rating and raised its price target to $31. It named Hims & Hers one of the top digital health picks of the year and sees a growing range of weight loss treatments.
Hims & Hers also has a partnership with Eli Lilly to expand access to obesity medications and drive growth. Third quarter revenue rose 77% year over year to $400 million, and adjusted EBITDA exceeded $50 million. Management also forecasts fourth-quarter 2024 revenue of between $465 million and $470 million, up about 89% to 91%.
