SHLS - Bragar Eagel & Squire P.C. Reminds Investors That Class Action Lawsuits Have Been Filed Against Agilon NBH and Shoals and Encourages Investors to Contact the Firm | Benzinga
NEW YORK, March 28, 2024 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, reminds investors that class actions have been commenced on behalf of stockholders of Agilon health, inc. (NYSE:AGL), Next Bridge Hydrocarbons, Inc. (NBH), and Shoals Technologies Group, Inc. (NASDAQ:SHLS). Stockholders have until the deadlines below to petition the court to serve as lead plaintiff. Additional information about each case can be found at the link provided.
Agilon health, inc. (NYSE:AGL)
Class Period: (1) Agilon common stock pursuant, or traceable, or both, to materials issued in connection with the Company's secondary public offering (the "SPO Materials") that occurred on or about May 16, 2023; and/or (2) between November 4, 2022 and January 4, 2024
Lead Plaintiff Deadline: May 20, 2024
Agilon, headquartered in Austin, Texas, generates profits from reducing medical expenditures. By partnering primarily with Medicare Advantage ("MA") plans as well as traditional Medicare and commercial managed care organizations, agilon receives a fixed monthly payment from payers for each patient under its care. In return, agilon takes on the responsibility of managing the total cost and quality of care for those patients. This model incentivizes agilon and its contracted physician partners to focus on preventive care and improve health outcomes in order to control costs. If the total cost of caring for patients is less than the fixed payments agilon receives, it realizes a profit. However, if costs exceed the payments, agilon incurs a loss.
The Complaint alleges that, throughout the Class Period and in the SPO Materials, Defendants misled investors about agilon's medical costs by: (1) touting the Company's purported visibility into utilization trends and medical costs; (2) failing to disclose increased medical costs that agilon had incurred prior to and during the Class Period due to higher utilization of healthcare by MA patients; (3) falsely stating that its accounting reserves for higher-than-expected medical costs were adequate; (4) making false and misleading statements about the effectiveness of its business model; (5) issuing overly optimistic financial guidance; and (6) issuing risk disclosures that were materially false and misleading because they characterized adverse facts that had already materialized as mere possibilities.
On November 2, 2023, agilon reported lower-than-expected third quarter 2023 results due to increased utilization and medical costs. Defendants also lowered the Company's 2023 full-year revenue outlook and informed investors that agilon had increased its accounting reserve for prior period medical expenses.