The lawsuit, filed by Hagens Berman, centers on claims that Hims & Hers shared sensitive medical information with third-party advertising platforms like Meta and Snap, contradicting the company’s public assurances regarding patient data safeguards. Beyond privacy concerns, the complaint alleges the company violated the Restore Online Shoppers' Confidence Act by enrolling users in recurring subscriptions without informed consent and placing barriers on cancellations.

Investors saw the market value of Hims & Hers drop by roughly $970 million on July 29, 2026, as shares fell 14.7%—a decline of $4.32—following the public disclosure of the FTC’s findings. Reed Kathrein, a partner at Hagens Berman, stated the firm is now investigating whether the company intentionally misled shareholders regarding its internal controls and the potential financial impact of the alleged misconduct. The class period for affected investors spans from August 4, 2025, through July 29, 2026, with a lead plaintiff deadline set for November 2, 2026.