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FDA says it will take “decisive steps” against GLP-1 compounders, HHS refers Hims to DOJ for investigation

The Food and Drug Administration said it would take “decisive steps” to restrict GLP-1 compounding, a day after Hims & Hers announced that it would sell copies of Novo Nordisk’s Wegovy pill.

The FDA specifically called out Hims in the announcement. Additionally, Department of Health and Human Services General Counsel Mike Stuart said in a post on X on Friday that he has referred Hims to the Department of Justice “for investigation for potential violations by Hims of the Federal Food, Drug, and Cosmetic Act and applicable Title 18 provisions.”

In a statement, Hims said the company “has always operated with a deep commitment to the safety and best interests of consumers and in compliance with applicable law.”

“We have a long history of successfully working with regulators, and look forward to continuing to engage with the FDA to ensure safe access to affordable healthcare,” they said.

This marks a significant shift in tone from the FDA, which has done little to prevent companies like Hims from marketing copies of Novo’s lucrative weight-loss drugs.

Shares of Hims fell 14% after-hours. The stock had already taken a hit after FDA Commissioner Marty Makary said in an X post on Thursday that the agency would “take swift action against companies mass-marketing illegal copycat drugs.”

Hims received a warning letter from the FDA in September that took issue with it saying its product has the “same active ingredient” as branded drugs made by Novo. The company has continued to use this language, including for its new oral product. 

In its statement, the FDA said it is “also taking steps to combat misleading direct-to-consumer advertising and marketing following warning letters that were sent in the fall of 2025.”

The FDA specifically called out Hims in the announcement. Additionally, Department of Health and Human Services General Counsel Mike Stuart said in a post on X on Friday that he has referred Hims to the Department of Justice “for investigation for potential violations by Hims of the Federal Food, Drug, and Cosmetic Act and applicable Title 18 provisions.”

In a statement, Hims said the company “has always operated with a deep commitment to the safety and best interests of consumers and in compliance with applicable law.”

“We have a long history of successfully working with regulators, and look forward to continuing to engage with the FDA to ensure safe access to affordable healthcare,” they said.

This marks a significant shift in tone from the FDA, which has done little to prevent companies like Hims from marketing copies of Novo’s lucrative weight-loss drugs.

Shares of Hims fell 14% after-hours. The stock had already taken a hit after FDA Commissioner Marty Makary said in an X post on Thursday that the agency would “take swift action against companies mass-marketing illegal copycat drugs.”

Hims received a warning letter from the FDA in September that took issue with it saying its product has the “same active ingredient” as branded drugs made by Novo. The company has continued to use this language, including for its new oral product. 

In its statement, the FDA said it is “also taking steps to combat misleading direct-to-consumer advertising and marketing following warning letters that were sent in the fall of 2025.”

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SpaceX gets a wave of bullish ratings from Wall Street analysts

SpaceX received more than a dozen positive analyst calls on Tuesday — including from major Wall Street banks — as they initiate coverage on Elon Musk’s space and AI company.

SpaceX went public on June 12 at a $2.2 trillion valuation, the largest debut in history. While the company hasn’t yet posted a profit, it seems to have convinced Wall Street that it will get there and grow its valuation on the way.

Of the at least 17 analysts that gave a rating on Tuesday, all but one gave it a “buy” or “outperform” rating. MoffettNathanson was "neutral."

The ratings come as SpaceX joined the Nasdaq 100 index, a benchmark tech-heavy basket of companies that underpins millions of portfolios. The inclusion adds built-in demand for the stock from index funds and ETFs.

Still, SpaceX fell more than 5% on Tuesday amid a broader sell-off, and is currently effectively flat from its opening price of $150 a share.

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