Unite with Fellow Investors
Choose the Best Attorney
Follow Case Progress
id: 857, Created by Polina Foster, Scout
AdaptHealth (AHCO) Deceptive Growth Claims Case
What do I get by joining?
- You will get case updates and receive a payout in case of success
- If you would like to actively participate, you will be connected to the attorney
- No, you do not pay anything out of your pocket neither to us nor to attorney
- AdaptHealth claimed its growth was due to more clients and high demand for diabetes products. However, in reality, the growth was driven by improper billing practices.
- In February 2023, the truth came out, leading to a 27% $AHCO fall.
AdaptHealth claimed its exceptional growth was due to an expanding client base and a focus on supplying constantly needed diabetes products. They made statements about breaking records, citing Medicare relaxations as a contributing factor. In truth, AdaptHealth's growth was the result of improper billing practices.
On February 27, 2023, AdaptHealth reported a significant financial loss for the Q4 2022, contrary to the expected gain. Additionally, the company lowered its revenue expectations for 2023, blaming it on "lower diabetes growth."
This caused $AHCO fall by 27% and $815M loss of market cap the next day, damaging shareholders.
Given all the information, investors have reasons to suspect that AdaptHealth didn't disclose their financial condition and the real factors affecting it.
Failure to Disclose,
Shock Event Date
28 February 2023
24 October 2023
Lead Plaintiff Deadline
23 December 2023