HIMS Debt-to-Equity Ratio Analysis

The debt-to-equity ratio compares a company’s total liabilities to its shareholders’ equity, showing how much of its operations are funded by borrowing versus owner investment.

At 2.18x, HIMS carries $2.18 of debt for every $1 of equity, indicating a high reliance on borrowed funds. That figure is well above the sector median of 0.74x, placing HIMS in the 87th percentile among peers, meaning only 13% of comparable companies have higher leverage. The trend is not available for this metric: the year-over-year change is N/A and the quarter-over-quarter change is also N/A, so there is no evidence of whether leverage is rising or falling. This combination of an elevated level with no directional data implies the company currently carries above-average financial risk, but the lack of trend prevents any conclusion about whether that risk is increasing or easing. Because the overall verdict is NEUTRAL, this metric supports that stance — the high leverage suggests caution, while the absence of trend data offers no reason to tilt decisively bullish or bearish.

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