After the Shortages End: Tirzepatide Injection Available Again

The U.S. Food and Drug Administration (FDA) has announced that the shortage of Eli Lilly's Tirzepatide injection, an important Glucagon-like Peptide-1 (GLP-1) medication, has now been resolved. The injection, known under the brand names Mounjaro and Zepbound, had been difficult to obtain since 2022 due to increased demand. The FDA has also reminded compounders of the legal restrictions that prohibit the copying of approved medications. According to a consumer survey by Truist, approximately 10% of consumers currently use compounded GLP-1 medications, while 14% rely on brand products. Many consumers opt for compounded variants primarily due to lower costs. Some physicians are also hesitant to prescribe the brand products. Hims & Hers Health remains confident that demand for their weight loss service could remain strong despite the resolved shortages, as long as the company complies with preparation regulations and respects the patents of brand medications. An analysis of third-quarter credit card data suggests that Hims & Hers Health's revenue could exceed their own forecasts of $375 to $380 million by $5 to $10 million. The company also recorded an average increase in transaction prices of 14% to $126.9 compared to ~111 dollars in the second quarter of 2024, while net orders in the third quarter of 2024 increased by 3% compared to the second quarter. Truist maintains a 'Hold' rating for Hims & Hers Health, with a price target of $23.