NEW YORK, April 07, 2023 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, is investigating potential claims against Veradigm Inc. (NASDAQ: MDRX), LivePerson, Inc. (NASDAQ: LPSN), First Republic Bank (NYSE: FRC), and Zynex, Inc. (NASDAQ: ZYXI). Our investigations concern whether these companies have violated the federal securities laws and/or engaged in other unlawful business practices. Additional information about each case can be found at the link provided.
Veradigm Inc. (NASDAQ: MDRX)
On February 28, 2023, Veradigm disclosed that it “detected certain internal control failures related to revenue recognition that have occurred over the prior six quarters, resulting in a mis-statement to reported revenues during those periods.” As a result, the Company reported that it expects “a reduction in revenue from continuing operations of approximately $20 million dollars in the aggregate from what it otherwise reported since the 3rd quarter of 2021 and expected to report for the 4th quarter of 2022.” The Company added that it is “continuing to evaluate the materiality of the mis-statement to determine if the full amount of this adjustment will flow through in the 4th quarter of 2022 or if prior periods will also require adjustment.” As a result, Veradigm revised its 2023 guidance downward and announced that it would not be filing its 2022 annual report on time.
On this news, Veradigm’s stock price fell $2.12 per share, or 12.76%, to close at $14.49 per share on March 1, 2023.
For more information on the Veradigm investigation go to: https://bespc.com/cases/MDRX
LivePerson, Inc. (NASDAQ: LPSN)
On March 15, 2023, LivePerson issued a press release announcing its fourth quarter 2022 financial results. The Company disclosed that WildHealth, the Company’s subsidiary, received a notice that Medicare was suspending reimbursements for services rendered under the Medicare demonstration program pending further review. As a result, LivePerson elected to take a reserve for revenue associated with such services in the fourth quarter of 2022 for which payment has not yet been collected. LivePerson further disclosed that, had the Company recognized revenues associated with services delivered under the program during the fourth quarter of fiscal 2022, its revenue would have been within the previous guidance ranges for the fourth quarter and full year. On this news, the price of LivePerson shares declined by $5.64 per share, or approximately 57.72%, from $9.77 per share to close at $4.13 on March 15, 2023.
For more information on the LivePerson investigation go to: https://bespc.com/cases/LPSN
First Republic Bank (NYSE: FRC)
On March 13, 2023, following the collapse of Silicon Valley Bank, Silvergate Bank, and Signature Bank, First Republic led a wave of declining bank share prices, based on liquidity concerns. These concerns persisted even after First Republic secured emergency funding. Downgrading First Republic’s shares, Raymond James wrote: “Despite the added liquidity sources, we believe deposit balances will remain under pressure in the immediate near term. While we believe the bank received some deposit inflows on Thursday during the bank run at SVB, additional panic among large depositors may have driven deposit balances lower since Thursday.”
On this news, First Republic’s stock price fell $50.55 per share, or 61.83%, to close at $31.21 per share on March 13, 2023.
For more information on the First Republic investigation go to: https://bespc.com/cases/FRC
Zynex, Inc. (NASDAQ: ZYXI)
On March 6, 2023, Zynex postponed the release of its fourth quarter and full year financial results.
Following this news, on March 7, 2023, the stock closed down 21.35%.
For more information on the Zynex investigation go to: https://bespc.com/cases/ZYXI
About Bragar Eagel & Squire, P.C.:
Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York, California, and South Carolina. The firm represents individual and institutional investors in commercial, securities, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.