RFK Jr. peptide policy could boost Hims & Hers as its GLP-1 business changes

As the high-margin compounded GLP-1 business develops, His and Her Health We may be finding a new opportunity in peptides.

Shares of the telehealth company rose Thursday after Health and Human Services Secretary Robert F. Kennedy Jr. announced Wednesday that the FDA plans to hold a Pharmacy Compounding Advisory Committee meeting to review the peptides for potential inclusion on the 503A bulk list, a designation that allows drugs to be compounded on an individual prescription basis rather than mass production.

The real story, according to Hims, is that expanding compounding to peptides could unlock new revenue streams by directing members to branded drugs rather than the more profitable compounded GLP-1 drugs. The telehealth company has been moving toward a peptide business for years.

Peptides are short chains of amino acids (think of them as tiny building blocks of proteins) that are being researched for a wide variety of health and wellness uses. They are controversial because scientific evidence on their long-term safety and effectiveness is limited and their production remains largely unregulated.

Hims & Hers took a significant step into the space with the acquisition of a California-based peptide facility in February 2025. At the time, CEO Andrew Dudum described demand for peptides as “future-proof innovation.”

“Many use cases have not yet been launched,” Dudum said. “Peptide innovation is at the forefront of many categories that we are excited to begin offering.”

Following Kennedy’s announcement on Wednesday, Hims Chief Medical Officer Dr. Patrick Carroll applauded the news as a move away from the “grey market,” saying the goal is to bring peptide therapy into regulated, physician-led care.

“Our medical team believes that some peptide therapies have meaningful potential to help Americans live healthier lives, and we are actively exploring how we can expand access to align with FDA guidance,” Carroll said.

Leerink Partners called the news that the FDA would review peptides for compound listing a positive outcome that could provide Hims with a clearer regulatory path to scale its peptide therapies. Even so, the firm said it would take time for the peptides to increase the company’s profits.

“This won’t translate to revenue right away, but it looks like it will be a growth path that HIMS will be pushing,” said Leerink analyst Michael Cherny, who has an equivalent rating on the stock and a $25 price target. The stock was trading at $26 per share on Thursday.

For now, this opportunity is still early, and clinical evidence supporting many peptide therapies is still limited.

One of the dozen peptides listed by Kennedy for consideration in the collective list — MK-677 — is generally considered an illegal drug when sold for human consumption. Growth hormone is also banned by the World Anti-Doping Agency.

Other peptides on the list, such as GHK-Cu and Semax used for cosmetics or cognitive enhancement, are generally viewed as less controversial, but they still lack solid scientific support.

Kennedy, who supports many medical treatments and food options beyond those supported by mainstream science, was asked about plans to expand peptide therapies at a House Ways and Means Committee hearing on Thursday.

Kennedy argued that the Biden administration restricted the use of peptides due to safety concerns, which he thought were unfounded, and said, “Peptides did not need to be regulated.”

The FDA process is just getting started, and the July meeting will be advisory only, so change isn’t expected to happen immediately.

Even so, investors are focusing on a replacement for GLP-1 as a growth driver for Hims, with peptides emerging as one of the clearest candidates yet.