LifeMD Shares Decline Even After the Launch of Testosterone Therapy

LifeMD, Inc.’s LFMD Rex MD has launched TestoRx, a direct-to-consumer hormone therapy telehealth service. TestoRx provides an initial consultation with blood tests to pre-screen patients, offering both testosterone replacement and alternative treatments to boost endogenous hormone production. Ongoing telehealth visits and follow-up care are included.Rex MD, a leading men’s telehealth platform, provides virtual medical treatment for various men's health needs, including erectile dysfunction, premature ejaculation, hair loss and weight management. The recent addition of a hormone replacement therapy program expands its offerings to better serve its growing customer base. Since its launch in 2019, Rex MD has served around 500,000 patients.Male hypogonadism, a condition where the body produces little to no testosterone, is common, particularly among older men, obese individuals and those with type 2 diabetes. Around 35% of men over 45 and 30-50% of men with obesity or diabetes are affected. Additionally, Rex MD data shows nearly one in five individuals report symptoms linked to low testosterone.Likely Trend of LFMD Stock Following the NewsFollowing the news, shares of LFMD lost 0.7% to $4.39 on yesterday’s closing.Shares of LFMD have plunged 47% year to date compared with the industry’s 4.9% decline. The S&P 500 has risen 22.7% in the same time frame.LifeMD offers telemedicine and specialized treatment for more than 200 conditions, including men’s and women’s health, weight management and hormone therapy. Its integrated digital care platform and extensive medical network enhance access to affordable, high-quality care. Despite recent share price declines, the launch of TestoRx under the Rex MD brand signals positive momentum and potential growth for investors.Image Source: Zacks Investment ResearchSignificance of LifeMD’s Launch of TestoRxTestoRx broadens Rex MD’s comprehensive platform, catering to the rising need for testosterone therapy. The launch aligns with Rex MD's mission to provide convenient, home-based health solutions for a growing customer base, improving hormonal health alongside its successful erectile dysfunction and weight management services.Management believes TestoRx, designed with expert clinicians, provides a compliant, convenient and affordable home-based solution for men with low testosterone. The company highlighted that obese men with hypogonadism often develop erectile dysfunction, making TestoRx a key addition to LifeMD’s men's health services, including its weight management program.Market Prospects Favoring LFMDPer a report in Allied Market Research, the global testosterone replacement therapy market size was worth $1.9 billion in 2022. It is anticipated to reach $2.9 billion by 2032 at a CAGR of 4.2%. The robust growth is likely to be driven by factors, such as an aging population, the rising prevalence of hypogonadism and lifestyle changes. Additionally, advancements in treatment options, including innovative delivery systems like transdermal patches, gels and long-acting injections, have improved patient convenience and compliance, further fueling market demand.Recent Developments at LifeMDLast month, LifeMD announced major enhancements to its weight management program, including a new platform for in-home lab collection, technology upgrades for prior authorization and pharmacy benefits, and personalized prescription treatment options. The company is also launching a real-time electronic benefit verification program for GLP-1 medications and partnering with an AI-powered platform to improve prior authorization approval rates, aiming to reduce care delays and increase patient access to branded medications.In June, LifeMD launched the acceptance of private health insurance for its virtual primary care services, including weight management for qualified patients. Initially available in select states, the company plans to expand coverage across all 50 states and aims to begin accepting Medicare by early 2025. This development enhances the accessibility and affordability of LifeMD’s services, aiming to improve clinical outcomes and patient retention rates.Zacks Rank & Key PicksCurrently, LifeMD carries a Zacks Rank #3 (Hold).Some better-ranked stocks in the broader medical space are Addus HomeCare ADUS, Aveanna Healthcare (AVAH) and RadNet (RDNT). While Addus HomeCare sports a Zacks Rank #1 (Strong Buy), Aveanna Healthcare and RadNet carry a Zacks Rank #2 (Buy) each at present. You can see the complete list of today’s Zacks #1 Rank stocks here.Addus HomeCare has an estimated long-term growth rate of 12.1%. ADUS’ earnings surpassed estimates in each of the trailing four quarters, with the average being 11.5%.Addus HomeCare shares have rallied 85.5% compared with the industry's 16.9% growth year to date.Aveanna Healthcare's earnings surpassed estimates in each of the trailing four quarters, with the average being 47.5%.AVAH’s shares have gained 90.7% compared with the industry's 17.9% growth year to date.RadNet’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 98.2%.RDNT's shares have surged 93.7% year to date compared with the industry’s 14.8% growth.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Addus HomeCare Corporation (ADUS): Free Stock Analysis Report RadNet, Inc. (RDNT): Free Stock Analysis Report LifeMD, Inc. (LFMD): Free Stock Analysis Report Aveanna Healthcare Holdings Inc. (AVAH): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks