HIMSNEUTRAL

HIMS Return on Equity (ROE) Analysis

-32.0%

Updated 1046h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates for every dollar of shareholder equity, and at -2.7%, HIMS is currently losing money relative to its equity base.

Sector Performance

6th percentile

HIMS

-32.0%

Sector Median

13.2%

Sector Avg

16.4%

Prior Period

-2.7%(Aug 2026)

↓ Declining
📊

Deep Analysis

Return on equity (ROE) measures how much profit a company generates for every dollar of shareholder equity, and at -2.7%, HIMS is currently losing money relative to its equity base.

This sits far below the sector median of 13.8%, placing the company in the 14th percentile among peers, meaning most comparable companies achieve much higher returns. Trend data is not available: year-over-year change is N/A and quarter-over-quarter change is N/A, with only the current -2.7% figure reported. A negative ROE alongside a low percentile rank points to elevated risk, as the company is not efficiently converting investor capital into earnings, but the lack of trend context leaves uncertainty about whether this is a temporary dip or a persistent issue. The metric does not directly support a bullish case, yet it also does not contradict the overall NEUTRAL verdict, since a single snapshot without trend data cannot justify a more bearish stance.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about HIMS?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

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HIMS

-32.0%

Sector Median

13.2%

Sector Avg

16.4%

How HIMS's Return on Equity (ROE) compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.