(Video) $14 Million Heavy Position! Hedge Fund Reveals Logic Behind Holding Hims

In the 71st episode of "Hims House," Jonathan Stern engaged in an in-depth conversation with hedge fund manager Ignacio Canto. Ignacio is the founder and portfolio manager of X-Square Capital, which held over 420,000 shares of Hims as of the first quarter.

Canto traced his long-standing interest in the company back to his personal experience using the products and the professional perspective of his late father, a urologist. He views Hims as a platform-based company directly confronting a fragmented, expensive, and inefficient healthcare system. He explained why he never considered selling his shares amid the legal turmoil involving Novo Nordisk, then outlined the core moats he values: network effects, data ownership, in-house developed wearable devices, and a retail investor following that allows the company to access cheap equity capital. He likened Hims to a combination of Costco and Netflix, arguing with Tesla-like logic why the retail investor "cult" is itself part of the investment thesis; simultaneously, he pointed out that international expansion broadens its Total Addressable Market (TAM) and helps uncover core business potential.

While he listed industry regulation and market competition as primary risks, he believes the company possesses logarithmic upside potential, making any linear price target a mental trap— and believes the stock could ultimately achieve a 10x Price-to-Sales (P/S) ratio.$Hims & Hers Health(HIMS.US)