3H·

Hims & Hers infringes patent law, my assessment and decision... 🤷💊

Hello everyone,

after the company has made a lot of headlines in the last few days, I have been looking into the current situation surrounding weight loss drugs in detail!

I've been researching, scouring online forums and talking to Gemini about their new "business practices".

Here is my conclusion:

At first, it looked like a smart move to me that the management of $HIMS (-9,31 %)
$NOVO B (+1,84 %) management was taking the fight to the front.

However, the fact that the FDA reacted so quickly to this move and immediately took legal action is not so pleasant for Hims. You've probably noticed that in the share price.

But I have looked into whether my original investment thesis is still intact, and I have come to a mixed conclusion: Yes and no!

Yes, because the vertical integration into the US private healthcare system is being driven forward and no, because the management is obviously prepared to break the law and fight with the health authorities in order to drive this business forward!

For me, this means that I am saying goodbye to the company for the time being,

not because I am no longer convinced by the overall concept, but because I do not want to be invested in the company, which, according to my in-depth research, is fundamentally in breach of health and patent law.

United Health is a wonderful example of what happens to a company that messes with the US health authorities (just take a look at the chart)... $UNH (-0,87 %)

I don't want to be part of this development towards unclean business practices!

It currently looks as if the authorities are cracking down this time. As a result, the long-term growth that was part of my investment thesis is no longer assured.

Because if higher fines and provisions for the whole court case etc. are due, this could have a direct impact on expansion. The money would not be available for research and marketing, for example.

To sum up, I simply don't trust the management at the moment and therefore don't feel comfortable with the company. Insider sales don't help to build trust either 🤷 even if this is of course normal because a large part is still held by insiders.

I would very much like to get back in, but only if the management proves that they want to comply with the law and drive growth in a legal manner!

I don't like the implementation of Hims' concept!

Best regards small investors 😊

@Aktienfox How do you see the current situation?

@Multibagger
@Tenbagger2024
@HoldTheMike

13 Commentaires

Dividendenopi👴@Dividendenopi

If everyone your age was like you, I wouldn't worry about the future of our country. I just have to support that.

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Klein-Anleger@Klein-Anleger

@Dividendenopi ❤️🤝 Thank you! So my friends are actually pretty much the same as me 😅 but when I look at the people in my year at school, I realize that the level is really not too high 🤷😏
And I have to be honest, I'm worried about our country. Not because of the people in my year, but because of the politicians who govern our country. (Pension "reform", tax adjustments, lack of investment, taking on debt for the social system, er sorry for the investment boom etc...) 🙂‍↕️

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Aktienfox@Aktienfox

Thanks for your input, your addressed point is 100% correct, and that was simply a mistake by Hims and Hers to go so hard on the pill but also to risk the partnership with Novo with the personalized Semaglutide syringes. That is why Hims was rightly punished. I will collect all my thoughts until/after the quarterly figures and see what the statement will be. Unfortunately, I'm currently extremely stressed as I have exams coming up this week. But some food for thought: I'm trying to adjust the potential penalties with the approx. 30% potential revenue from GLP-1 and then look at this. I can't yet say 100% what the result will be. The lawsuit and the action against Hims can also be painful, but the balance sheet/P&L looks very solid even without GLP-1. They should have parted ways before now, of course it will be exciting. I am reporting, but am not buying explicitly at the moment, this also shows my attitude to the current situation, it is very difficult to classify and needs time :)

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Klein-Anleger@Klein-Anleger

@Aktienfox Good luck with the exams ;) In any case, share what your research has revealed afterwards! My biggest concern is that the money needed to fight Novo will not be available for growth. They won't go bankrupt, but they simply won't be able to maintain growth. In addition, I simply no longer trust the management, for me that was simply a breach of taboo!

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Aktienfox@Aktienfox

@Klein-Anleger Thank you <3 - ich werde berichten.

Mangament Thema muss ich mir auch nochmal anschauen:

1: Aktien Verkauf vom CEO
2: Managament Fehler
-> Pille
-> Compounted
-> Advertising
-> Wrongly addressed labeling

are just recent topics...

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Sebbster@Sebbster

Does that mean you're selling all your hims shares now? Unfortunately, I'm now also well in the red, but I'll just sit it out. I don't need the money right now and I have a long investment horizon. In 2-3 years it will look completely different again with hims

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Klein-Anleger@Klein-Anleger

@Sebbster Exactly, because I don't want to be involved in a company whose management actively opposes US patent law. I would love to increase my stake instead of selling, but I don't think it's wise to take this risk with the authorities in the country where you do almost 100% of your business. If it were to be announced tomorrow that a new management team (one that focuses on legal growth again) is coming in, I would be right back in! I also think it's a shame that I have now parted company. But I don't think anything else would be rational.

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Max@Divident_e

UNH has never done anything wrong. If you have no proof you should be careful

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Klein-Anleger@Klein-Anleger

@Divident_e https://www.handelsblatt.com/finanzen/banken-versicherungen/versicherer/united-health-us-justizministerium-ermittelt-wegen-betrugsverdacht/100128578.html

There are definitely investigations by the US authorities!

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IchmagMoneten@Mijujo00

Where do you rotate the money?
Take a look at $RBRK.
Might be something for you?
It's in the cybersecturity sector and has great potential, currently would even be a good place to start.
Lg

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Klein-Anleger@Klein-Anleger

@Mijujo00 Still undecided. I will buy $BTC at the end of the year. If $PLTR corrects even less, I would also like to get in. Also currently on the WL are $EXL $DCTH and $OMDA.
I'm also looking for cybersecurity, $RBRK is also on my WL, and $S is also at the top of my list in this segment
I probably won't be adding any more stocks to my portfolio for the time being, because I will be continuously increasing my cash holdings. My 18th birthday is coming up in the fall and after that I would like to buy a car 🚗😛
LG

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TradingHase@TradingHase

I also sold at a loss, as I am not behind the practice, and used the remaining money to take a short, which almost made up for my loss.

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Leon@Investingyoung

$UBER has also been in a gray area for years... disruptive business models in an industry are always in these gray areas, I'll wait and see what happens and buy more if necessary.

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