- GRIT
- Posts
- Deep Dive on Hims & Hers
Hey Everyone!
Date published: March 28, 2023
This is one of our favorite long-term companies; every long-term investor should look at it. We have discussed it before.
As most of you know, our primary strategy is finding undervalued tech stocks and trading them in the short term or investing in the long term. In other words, whenever we find a stock in our sector severely beaten down, we do a deep dive into it. We should also research companies and let the individual investor choose stocks based on mine and their research.
It was brought to our attention that David Wells joined the board of this growth stock.
We did not pay much attention to this stock until we realized Mr. Wells had joined the company.
You might be wondering, who the heck is David Wells?
David Wells was Netflix's CFO and VP of Strategic Planning from 2004 to 2019. During his tenure, Netflix stock soared 7,000%, and he is credited with leading Netflix into a phenomenal financial position.
He helped Netflix raise $12 Billion in equity and debt capital.
You might be saying, okay? Netflix is Netflix. This is very true, but keep in mind that there is a broad consensus that without David Wells, Netflix could have never financially scaled.
In 2016, David Wells joined the board of The Trade Desk. Once Mr. Wells joined the board, The Trade Desk stock was up 4,000%.
David Wells recently joined the board of a stock called “Hims and Hers.” This stock has been beaten down recently but for absolutely no reason.
The stock currently trades at $6.77.
However, it was worth $25.40 at its peak in February 2021.
Hims & Hers
Hims & Hers Health, Inc. operates a multi-specialty telehealth platform that connects consumers to licensed healthcare professionals. The company offers a range of health and wellness products and services available for purchase on its websites directly by customers. It provides prescription medication on a recurring basis and ongoing care from healthcare providers; and over-the-counter drug and device products, as well as cosmetics and supplement products, primarily focusing on wellness, sexual health, skincare, and hair care.
In our terms: you download their very user-friendly app, create an account, and have a teleconference with a Doctor who primarily focuses on wellness, sexual products, skincare, and hair care. They make money via the appointment, BUT their bread and butter is their medicine subscription model. The company sells generic drugs to consumers, cutting out the middlemen and offering customers better prices.
They have now added a feature where you can get treated on the app if you have a cold or flu.
Their CEO, Andrew Dudum, is a brilliant mind who completely understands that Millennials and Gen Z will not go to a doctor’s office like Baby Boomers did.
Andrew believes telemedicine will do precisely what Netflix did to Blockbuster, which is why he is after the subscription model. COUGH COUGH, DAVID WELLS.
What we LOVE about Hims & Hers versus TeleDoc is that Hims & Hers is building a community and a subscription model, unlike TeleDoc. Remember that we are big fans of Teledoc and have used them before. However, we have recently done a deep dive into Hims & Hers.
Why does this matter? Hims & Hers is trying to create an environment where you feel comfortable. This includes visiting with the same doctor just like you would in an office and creating a community of people dealing with what you are dealing with.
Subscribe to GRIT VIP to read the rest.
Become a paying subscriber of GRIT VIP to get access to this post and other subscriber-only content.
Already a paying subscriber? Sign In
Reply