Exploring the Growth Potential of HIMS & HERS HEALTH INC (NYSE:HIMS) as It Nears a Breakout.

For growth-minded investors, high revenue and EPS growth are key criteria. Today, we'll examine whether HIMS & HERS HEALTH INC (NYSE:HIMS) fits the bill for growth investing, particularly as it forms a base and hints at a potential breakout. Remember, due diligence is essential, but HIMS & HERS HEALTH INC has caught our attention on our screen for growth with base formation. It may warrant additional investigation.

Growth Assessment of HIMS

ChartMill assigns a Growth Rating to each stock, ranging from 0 to 10. This rating is determined by analyzing different growth elements, including EPS and revenue growth, spanning both historical and future figures. In the case of HIMS, the assigned 9 reflects its growth potential:

• HIMS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 590.91%, which is quite impressive.
• The Earnings Per Share has been growing by 60.48% on average over the past years. This is a very strong growth
• The Revenue has grown by 69.33% in the past year. This is a very strong growth!
• The Revenue has been growing by 75.77% on average over the past years. This is a very strong growth!
• HIMS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 41.66% yearly.
• The Revenue is expected to grow by 27.61% on average over the next years. This is a very strong growth

A Closer Look at Health for HIMS

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. HIMS has achieved a 7 out of 10:

• An Altman-Z score of 19.25 indicates that HIMS is not in any danger for bankruptcy at the moment.
• HIMS has a better Altman-Z score (19.25) than 97.20% of its industry peers.
• There is no outstanding debt for HIMS. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
• HIMS's Current ratio of 1.79 is fine compared to the rest of the industry. HIMS outperforms 66.36% of its industry peers.

Assessing Profitability for HIMS

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, HIMS has achieved a 6:

• Looking at the Return On Assets, with a value of 17.81%, HIMS belongs to the top of the industry, outperforming 98.13% of the companies in the same industry.
• With an excellent Return On Equity value of 26.44%, HIMS belongs to the best of the industry, outperforming 93.46% of the companies in the same industry.
• HIMS's Return On Invested Capital of 10.98% is amongst the best of the industry. HIMS outperforms 87.85% of its industry peers.
• HIMS has a Profit Margin of 8.54%. This is amongst the best in the industry. HIMS outperforms 91.59% of its industry peers.
• HIMS has a Gross Margin of 79.45%. This is amongst the best in the industry. HIMS outperforms 92.52% of its industry peers.
• HIMS's Gross Margin has improved in the last couple of years.

How does the Setup look for HIMS

ChartMill also assign a Setup Rating to every stock. With this score it is determined to what extend the stock has been trading in a range in the recent days and weeks. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. HIMS scores a 7 out of 10:

Although the technical rating is only medium, HIMS does present a nice setup opportunity. Prices have been consolidating lately. There is very little resistance above the current price. There is a support zone below the current price at 26.25, a Stop Loss order could be placed below this zone.

Our Strong Growth screener lists more Strong Growth stocks and is updated daily.

For an up to date full fundamental analysis you can check the fundamental report of HIMS

Check the latest full technical report of HIMS for a complete technical analysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.