Hims & Hers Health Faces Securities Class Action Over Data Privacy Allegations
Telehealth company Hims & Hers Health is facing a securities class action lawsuit following accusations from the U.S. Federal Trade Commission (FTC) of business misconduct and improper handling of customer data. Investors who experienced losses are encouraged to contact legal representatives.
San Francisco, CA – October 13, 2026 – Hims & Hers Health, Inc. (NYSE: HIMS) and certain company executives are now defendants in a securities class action lawsuit. The action stems from a broad federal complaint filed by the U.S. Federal Trade Commission (FTC), which accuses Hims of significant business misconduct.
Hagens Berman, a law firm investigating the claims, urges HIMS investors who suffered substantial losses to contact them before the lead plaintiff deadline of November 2, 2026. The lawsuit focuses on allegations that Hims misled investors regarding its data privacy practices, including claims that the company shared sensitive customer health information with third-party advertising platforms.
Further allegations include that Hims bills customers for prescriptions almost immediately after form submission, despite promising a consultation with a medical provider to find suitable treatment. The company is also accused of violating the Restore Online Shoppers' Confidence Act (ROSCA) by enrolling consumers in recurring subscription models without adequate consent.
The FTC's federal complaint, filed alongside co-plaintiffs Utah and Los Angeles County on July 29, 2026, triggered a swift market reaction. Hims stock dropped 14.7%, erasing over $970 million in market capitalization in a single day. The law firm stated its investigation aims to determine if Hims intentionally misled investors about its business practices and the financial ramifications of the alleged misconduct.