LNC - Bragar Eagel & Squire P.C. Reminds Investors That Class Action Lawsuits Have Been Filed Against HireRight Doximity Global Cord and Lincoln Innovations and Encourages Investors to Contact the Firm | Benzinga
NEW YORK, April 29, 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 HireRight Holdings Corporation (NYSE:HRT), Doximity, Inc. (NYSE:DOCS), Global Cord Blood Corporation (OTC:CORBF), and Lincoln National Corporation (NYSE:LNC). 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.
HireRight Holdings Corporation (NYSE:HRT)
Class Period: pursuant and/or traceable to the Offering Documents issued in connection with HireRight's October 2021 initial public offering (the "IPO" or "Offering")
Lead Plaintiff Deadline: June 3, 2024
HireRight provides technology-driven workforce risk management and compliance solutions to a customer base characterized as a "diverse set of organizations, from large-scale multinational businesses to small and medium-sized businesses, across a broad range of industries." The Company offers background screening, verification, identification, monitoring, and drug and health screening services for customers under the HireRight brand name and boasts a purportedly "robust pipeline of opportunities developed by [its] sales team to continue to attract new customers and take share in the market."
On October 6, 2021, HireRight filed a registration statement on Form S-1 with the SEC in connection with the IPO, which, after an amendment, was declared effective by the SEC on October 28, 2021 (the "Registration Statement").
On November 1, 2021, HireRight filed a prospectus on Form 424B4 with the SEC in connection with the IPO, which incorporated and formed part of the Registration Statement (the "Prospectus" and, collectively with the Registration Statement, the "Offering Documents").
That same day, pursuant to the Offering Documents, HireRight's common stock began publicly trading on the New York Stock Exchange ("NYSE") under the ticker symbol HRT.
Pursuant to the Offering Documents, HireRight issued approximately 22 million shares of its common stock to the public at the Offering price of $19.00 per share for proceeds to the Company of approximately $399 million after applicable underwriting discounts and commissions, and before expenses.
According to the complaint, the Offering Documents were negligently prepared and, as a result, contained untrue statements of material fact or omitted to state other facts necessary to make the statements made not misleading and was not prepared in accordance with the rules and regulations governing its preparation. Specifically, the Offering Documents made false and/or misleading statements and/or failed to disclose that: (i) HireRight was exposed to customers with significant employment and hiring risk and the Company derived greater revenue growth from existing client hiring than from new client hiring; (ii) as a result, the Company's revenue growth was unsustainable to the extent that it relied on the stability of its current customers' hiring and/or the profitability of securing new customers; (iii) accordingly, HireRight had overstated its post-IPO business and/or prospects; and (iv) as a result, Defendants' statements about the Company's business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.
On January 19, 2023, Stifel, a brokerage and investment banking firm, downgraded HireRight's stock from a Hold to a Buy, prompting several market analysts to issue publications discussing the downgrade. For example, Seeking Alpha reported that Stifel found HireRight to be exposed to large technology firms where there is more acute employment and hiring risk, and that more of the Company's growth comes from existing client hiring than from new.
On this news, HireRight's stock price fell $0.88 per share, or 7.5%, to close at $10.75 per share on January 19, 2023
At the time of the Complaint's filing, HireRight's common stock continue to trade below the $19.00 per share IPO price.
For more information on the HireRight class action go to: https://bespc.com/cases/HRT
Doximity, Inc. (NYSE:DOCS)
Class Period: February 9, 2022 - April 1, 2024 (Common Stock Only)
Lead Plaintiff Deadline: June 17, 2024
Doximity operates a digital platform that provides connections between, medical information to, and patient scheduling tools for medical professionals. The Class Period begins on February 9, 2022, when Doximity released its quarterly financial results for the third quarter of fiscal year 2022, after the market closed the night prior. During the accompanying quarterly investor earnings call afterhours on February 8, 2022, Defendant Anna Bryson, the Company's Chief Financial Officer, emphasized that "marketers have been able to witness the value of running these digital programs" and that it was this "value that's the main reason we're seeing this sustained demand from our customers and not new [COVID] variants." To this end, Defendant Bryson further assured investors that the Company was "focused on . . . really building a business that can provide years of sustainable growth with high margins."
The complaint alleges that, throughout the Class Period, Defendants continued to tout the sustainability of the Company's business prospects while also downplaying the importance of customer upsell rates on the Company's financial performance. For example, during the Company's second quarter fiscal year 2023 investor earnings call on November 10, 2022, Defendant Jeffrey Tangney, the Company's Chief Executive Officer, reassured investors that "pharma's doing quite well" amid investor concerns that macroeconomic headwinds would substantially impact Doximity' ...