Hims & Hers Health (NYSE:HIMS) stock declined 6% on Monday following an announcement from Amazon (NASDAQ:AMZN) that expands its primary care and pharmacy services to include GLP-1 medications as part of a weight management program offered through Amazon One Medical.
The newly introduced service links primary care consultations, pharmacy fulfillment and virtual care tools for patients pursuing weight loss treatment, according to Amazon's announcement. The program is structured to provide consultations, scheduled follow-up visits and ongoing monitoring within patients' primary care relationships.
Amazon Pharmacy will make available GLP-1 medications that the company named in its release. This includes the recently FDA-approved Wegovy, as well as Foundayo oral pills.
Amazon outlined tiered pricing for the program:
- With insurance coverage, the program starts at $25 per month.
- For oral GLP-1 medications on a cash-pay basis, the price is $149 per month.
- Injectable GLP-1 treatments, including Wegovy, the Zepbound auto-injector and KwikPen, are available with cash-pay pricing beginning at $299 per month.
By combining core primary care services with pharmacy distribution and virtual care capabilities, Amazon's move expands its footprint in the weight management market. The company’s offering places it in direct competition with telehealth providers that have focused on supplying GLP-1 medications and related care pathways for weight loss.
Market participants reacted to the announcement with an immediate decline in Hims & Hers shares. The development highlights intensifying competitive dynamics between large integrated retailers with pharmacy capabilities and specialist telehealth firms that have built businesses around access to GLP-1 therapies.
While Amazon's program emphasizes integrated care and multiple pricing options, the announcement did not provide additional details beyond the structure of services, the list of medicines mentioned, and the starting price points for insured and cash-pay options.
Sectors impacted: telehealth providers, retail pharmacy operations, consumer healthcare and primary care services.