Can HIMS sustain its earnings momentum into 2025?

**Hims & Hers Health Inc. (HIMS) is poised to sustain its earnings momentum into 2025**, based on several key factors:

1. **Strong Revenue Growth**: HIMS has demonstrated substantial revenue growth, with a 69% year-over-year increase in 2024. This trend is indicative of a strong market demand for the company's services and products.
2. **Subscriber Base Expansion**: The company has seen a significant increase in its subscriber base, with over 2 million subscribers as of the end of 2024. This growth in subscribers is a key driver of revenue and suggests a strong customer base that is likely to contribute to sustained earnings.
3. **New Product Offerings and Market Position**: HIMS has launched new prescription products in various categories, including weight loss, sexual health, dermatology, and mental health. These new offerings are likely to contribute to revenue growth as they scale up. The company's focus on personalized health and wellness solutions also positions it well to capitalize on growing consumer demands.
4. **Strategic Acquisitions and Investments**: HIMS has made strategic acquisitions and investments to support its growth, such as the acquisition of MedisourceRx. These strategic moves are likely to enhance the company's operational efficiency and market reach, supporting continued earnings growth.
5. **Financial Projections and Analyst Optimism**: The company's financial projections for 2025, including expected revenue growth between 38% and 41%, are indicative of analyst optimism regarding its future earnings potential. This optimism is supported by the Zacks Consensus Estimates, which predict earnings of $0.63 per share and revenue of $2.34 billion for the fiscal year 2025, indicating changes of +133.33% and +58.17%, respectively, from the former year.
6. **Return to Profitability**: HIMS has already shown a significant turnaround in net income, with a substantial increase from $1.2 million in the same period of 2023 to $26.0 million in Q4 2024. This return to profitability suggests that the company is on a sustainable growth trajectory.
7. **Market Outperformance and Investor Confidence**: Despite market fluctuations, HIMS has outperformed the Medical sector and the S&P 500 in certain periods, which could be a sign of investor confidence in the company's business model and its ability to sustain earnings momentum.

In conclusion, HIMS's strong revenue growth, expanding subscriber base, new product offerings, strategic acquisitions, and positive financial projections all point to a strong likelihood of sustaining its earnings momentum into 2025.