Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses Exceeding $50,000 In AdaptHealth To Contact Him Directly To Discuss Their Options
New York, New York--(Newsfile Corp. - September 10, 2021) - Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against AdaptHealth Corp. ("AdaptHealth" or the "Company") (NASDAQ: AHCO) and reminds investors of the September 27, 2021 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you suffered losses exceeding $50,000 investing in AdaptHealth stock or options between November 11, 2019 and July 16, 2021 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310). You may also click here for additional information: www.faruqilaw.com/AHCO.
There is no cost or obligation to you.
Faruqi & Faruqi is a leading minority and Woman-owned national securities law firm with offices in New York, Delaware, Pennsylvania, California and Georgia.
As detailed below, the lawsuit focuses on whether the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: (1) AdaptHealth had misrepresented its organic growth trajectory by retroactively inflating past organic growth numbers without disclosing the changes, in violation of SEC regulations; (2) accordingly, the Company had materially overstated its financial prospects; and (3) as a result, the Company's public statements were materially false and misleading at all relevant times.
Specifically, on July 19, 2021, before the market opened, Jehoshaphat Research ("Jehoshaphat") published a report alleging that AdaptHealth is a "roll-up" company, or a company that is built primarily through the acquisition of smaller companies with common services or products, that obscures its organic growth by "[r]etroactively changing past organic growth numbers to be higher, with no disclosure about the change." Specifically, the report stated that "[w]hile management claims (and consensus estimates reflect) an organic growth trajectory of 8-10%, AHCO is in fact experiencing double-digit organic decline. It is also, in our opinion, taking steps to obscure that decline which are expressly forbidden by the SEC." Indeed, the report suggested that AdaptHealth's manipulation of its organic growth trajectory was "a blatant violation of non-GAAP disclosure rules, for which companies get into huge trouble."
On this news, AdaptHealth's stock price fell $1.51 per share, or 5.93%, to close at $23.96 per share on July 19, 2021.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding AdaptHealth's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
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