BofA Securities reaffirmed its Underperform rating and $28 price target on Hims & Hers Health Inc. (NYSE: HIMS), warning of weaker growth trends heading into the fourth quarter.

The firm said its updated model incorporated September sales data and projected third-quarter revenue roughly in line with Street expectations, though deferred revenue was expected to play a larger role than in prior quarters. However, the outlook for the fourth quarter was described as “weak,” with orders down 16% year-over-year in September.

BofA reduced its fourth-quarter revenue estimate from $617 million to $590 million, 6.5% below the Street's $632 million consensus. Full-year revenue was also cut to $2.298 billion, below the company's guidance range of $2.3 billion to $2.4 billion.

The firm said consensus estimates appeared overly optimistic, embedding an unrealistic acceleration in growth from the third to the fourth quarter. BofA cited multiple headwinds, including decelerating core growth, slowing order momentum, seasonal weakness in GLP-1 sales, intensifying competition, and changes in direct-to-consumer advertising that were likely to pressure conversion rates.