What Happened?

A number of stocks fell in the afternoon session after reports revealed that the US may impose up to 100% tariffs on imports of branded and patented drugs. 

This potential move would target pharmaceutical companies that have not negotiated deals to lower drug prices in the United States. The news sparked a significant sell-off in the sector, with the Nifty Pharma index declining over 5% as all its constituent stocks traded lower. The concerns were particularly pronounced for international drugmakers who rely on the US market.

The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.

Among others, the following stocks were impacted:

• Healthcare Technology for Patients company Hims & Hers Health (NYSE: HIMS) fell 3.9%. Is now the time to buy Hims & Hers Health? Access our full analysis report here, it’s free.
• Immuno-Oncology company Regeneron (NASDAQ: REGN) fell 3%. Is now the time to buy Regeneron? Access our full analysis report here, it’s free.
• Therapeutics company Biogen (NASDAQ: BIIB) fell 3.5%. Is now the time to buy Biogen? Access our full analysis report here, it’s free.
• Therapeutics company BioMarin Pharmaceutical (NASDAQ: BMRN) fell 3.2%. Is now the time to buy BioMarin Pharmaceutical? Access our full analysis report here, it’s free.
• Therapeutics company Moderna (NASDAQ: MRNA) fell 3.1%. Is now the time to buy Moderna? Access our full analysis report here, it’s free.

Zooming In On Hims & Hers Health (HIMS)

Hims & Hers Health’s shares are extremely volatile and have had 76 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 6 days ago when the stock dropped 6.4% on the news that major indices including the S&P 500 and Dow Jones Industrial Average fell sharply as investors reacted to escalating uncertainty tied to the U.S.-Iran conflict and policy deadlines set by the Trump administration. Markets dislike unpredictability, and these fears were amplified, raising concerns of prolonged conflict and rising oil prices. This negative outlook reflected in consumer confidence, with the University of Michigan's sentiment index sliding to a three-month low.

Hims & Hers Health is down 43.4% since the beginning of the year, and at $18.91 per share, it is trading 71.4% below its 52-week high of $66.18 from July 2025. Despite the year-to-date decline, investors who bought $1,000 worth of Hims & Hers Health’s shares 5 years ago would now be looking at an investment worth $1,343.

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