Hims & Hers Health Inc. saw its stock price plummet 7.85% during intraday trading on Tuesday, marking a significant pullback from recent highs.

The decline follows a sharp rally of over 50% the prior week, which was fueled by regulatory developments. The U.S. Food and Drug Administration is considering removing 12 peptide drugs from its Tier 2 restriction list, with another 7 peptides set for review in July. The FDA also confirmed plans to convene an expert panel in July to discuss whether certain pharmacies may produce specific peptide substances. These developments were seen as potentially easing regulatory pressure on the telehealth company's compounding and weight-loss business lines.

Following such an outsized weekly gain, the intraday pullback suggests profit-taking activity as investors reassess near-term positioning ahead of the formal July FDA review timeline.