Core Insights - Hims & Hers is experiencing rapid revenue growth but is currently facing a legal battle that poses risks to its future performance [1][4] - The company's stock has seen a significant decline of 17% this week and is down 25% from its all-time highs, despite a remarkable 400% increase over the past five years [1][2] Financial Performance - In Q2 2025, Hims & Hers reported a 73% year-over-year revenue growth, exceeding $500 million, driven by a 30% increase in total subscribers and a 30% rise in spending per active subscriber [2] - The company has achieved $2 billion in trailing revenue, marking an increase of over 1,000% in the last five years, solidifying its position as a leading telehealth provider [6] Legal Challenges - Hims & Hers is embroiled in a legal dispute with Novo Nordisk, stemming from allegations of selling knockoff weight loss drugs after a partnership ended due to disagreements [3][4] - The company is accused of illegally selling patented weight loss drugs at a discount now that the shortage has resolved, raising concerns among investors about the potential impact on future revenue and profitability [3][4] Market Position - Hims & Hers has made significant market share gains in the telehealth sector, particularly in the online provision of drugs and medical treatments [6] - Despite its strong growth trajectory, the ongoing legal issues may deter potential investors from buying the stock at its current dip [7][8]