Conditional Sell Trigger on Revenue Deceleration
"Another reason why I would consider selling him is if revenues decelerate for like two to three quarters, like if it's now 598, it goes to 570, then 520, then 450 for the next three quarters, then I would potentially consider selling him. Because if they're not pulling this off right now with the amount of resources they have, then they will never be able to pull it off."
The speaker outlines a conditional exit strategy for HIMS. He specifies that if HIMS experiences a consistent decline in revenues over two to three consecutive quarters—illustrated by a drop from 598 to 570, then 520, and finally 450—this would be a trigger to sell the stock, as it would indicate that the company is failing to execute despite ample resources.
Buy Hims and Hers Health Near $30 Support
"That leads us to stock number two on our list, which is going to be Hims and Hers Health, stock ticker HIMS. This is a company that was off to a fantastic start through the first half of the year, but in recent months, it's been under intense pressure. The stock is trading at its longer-term support level, and a break below could send this stock towards $30 per share. In terms of a buy price target, that low $30 range would be a great spot to start nibbling at Hims and Hers."
The speaker recommends Hims and Hers Health as a potential buy if it holds its longer-term support around $30, viewing the current volatility as a second opportunity for investors.
Undervalued Opportunity in HIMS
"The first one is Hems and Hers health. It's down 34% over the last months and people again are doubting the stock and they're kind of crying about it a little bit. But to me, I've been in the stock from $7 per share and people told me, 'I wish I bought him at seven.' The only way I was able to hold from $7 is because I was not paying attention to the chart; I was paying attention to the fundamentals, to the long-term thesis around the company. Most investors can't do it. I still believe he is an undervalued opportunity."
The speaker discusses Hims and Hers health, noting its steep decline and the resulting investor skepticism. Emphasizing a focus on long-term fundamentals over short-term chart movements, the speaker highlights that holding the stock from a $7 entry point was possible due to a strong underlying thesis, ultimately characterizing the stock as an undervalued opportunity.
Hims & Hers: Undervalued Telehealth Juggernaut with Multiple Catalysts
"Number two, Hims and Hers. Hims is a telehealth company that sells prescription and over-the-counter treatments online. We've been fans of this one since last fall when it was trading at lower prices, and now it's all the way back down, which I believe is a great deal. The company is massively growing its revenue and subscriber numbers, with upcoming catalysts like Canada and Europe launches, GLP1 expansion, and new partnerships in weight loss and hormone health. Holding key support at $40.50 and fighting off bears, Hims presents an asymmetric reward opportunity for long-term investors."
The speaker advocates for Hims based on its strong revenue and subscriber growth, clear strategic catalysts, and technical support levels. The stock's current discount compared to its potential in an expanding telehealth market makes it a compelling long-term buy.
HIMS Misunderstood Opportunity with Massive Upside
"I've owned HIMS from $7 per share. I have averaged up multiple times on the company and I've been talking about it on YouTube from around $10 per share and I always get a lot of dislikes when I talk about this one because I really believe it's a misunderstood opportunity in general especially right now as a company is going through a transition period which is why I think it's presenting an amazing opportunity. The company is diversifying away from weight loss and expanding into sexual health, dermatology, mental health, hormone health and longevity, which I believe will drive a massive multiple expansion to at least six times sales or seven times sales, potentially even 10 times sales. With a current market cap of $10 billion and a forecast of a 225% to 550% upside over the next 4-5 years, this is one of the best risk-rewards in the market."
The speaker presents HIMS as a misunderstood growth opportunity undergoing a transition from solely weight loss to more diversified healthcare offerings, positioning it for significant multiple expansion and substantial upside (225%-550%) over the next 4-5 years.
Bullish Trade Call on HIMS via Options Strategy
"Now, I want to quickly uh talk about a trade that I want to be making right now. Okay? So, here's the portfolio that I started. I'm doing a little project on the side with 100K. But look, here's HIMS. I ended up selling a put option. So, I'm looking for entry at 45. HIMS just went below 45. So, I'm pretty excited to get assigned because all I'm going to do as soon as I get assigned is take 100 shares and then start selling covered calls on this position. Once I get assigned and my average cost is 45 minus the premium, I'm going to go for 48 for capital appreciation."
The speaker provides a detailed trade call on HIMS by selling a put option to get assigned at $45 and then using a wheel strategy via covered calls at a target of $48. This strategy is backed by the stock's undervalued price and strong fundamentals, making it an attractive short-term opportunity.
Trade Call on HIMS Earnings Setup
"Then I went into him on on trend spider. I said, you know what? Is this a good trade? Well, 4hour algorithm has you out. 4hour algorithm doesn't beat buy and hold. It wins only 37% of the time. So for me, I would have to find some other reason to buy this. And I've said in within this space, if we pull this uh this this volume uh slider back to where it hit that 25 level, nobody's holding down here at 25. If you go below 43, you've got a whole bunch of a space down here to where people aren't necessarily holding. The MACD way down below the oscillator by two points. The last time we saw this, the stock moved from 48 to 69. The RSI, it's in oversold territory at 35 going into earnings. It's an interesting one. Now, I don't consider this an investment. I consider this one a trade, but you can see even on the weekly, the MACD pulled back. The RSI pulled uh is down at 45. So, go and check out Hams on earnings hub. You know, again, what what are they expected? They're expected 10 cents per share. What did they report last night? 17 cents per share. So, it's lowered expectations. The biggest thing with HIMS that I will tell you is the fact that there is a huge short interest on this."
The speaker provides a detailed technical analysis of HIMS, noting that despite it not being a long-term investment, its oversold RSI, MACD pullback, and significant short interest make it an attractive short-term trade opportunity around earnings.
Trade Call: Sell $45 Put on HIMS for Momentum Pickup
"The first thing that I did was I sold him $45 put. I think HIMS is an incredibly smart play. So, if you have really any amount of money, then look, 10% of your money in HIMS is a smart play in my opinion because HIMS has a very good business. And right now on the technical chart, Hims is actually pretty low. Like HIMS had a high of like $63 here in the past 3 months, and it's been trending pretty sideways. You can see how the moving average is actually very stable. However, the stock has recently taken a dip and a pretty big dip at that. Now, look, the Ballinger band is also coming down. So, this is a good opportunity to buy him as we had kind of a low here. I think we're going to get a pick up in HIMS."
The speaker executed a trade by selling a $45 put on HIMS, citing its technical dip, stable moving average, and potential for a momentum pickup as reasons for the play.
Sell Cash Secured Put for HIMS
"Beginning with stock number one, which is going to be Hims and Hers Health, stock ticker HIMS. And for those of you that are part of my Options Edge community, you know that this is one I recently fired off an option trade alert to where I sold a cash secured put on this particular stock this week already. At current valuations, although I could see maybe nibbling at the stock here, I would like to buy it at a much lower entry point. And that's where options comes into the equation, allowing me to potentially purchase the stock at a desired price while earning income along the way."
The speaker highlights Hims and Hers Health (HIMS) as a buy candidate via selling cash secured puts to secure a lower entry point. He emphasizes the company's strong financials and lack of debt while waiting for a more attractive valuation.