Scott+Scott Attorneys at Law LLP Files Securities Class Action Against Ibotta, Inc. (NYSE: IBTA)

Core Viewpoint - Scott+Scott Attorneys at Law LLP has filed a securities class action lawsuit against Ibotta, Inc. and certain individuals associated with the company, alleging misleading statements and omissions regarding Ibotta's business and financial condition during the class period from April 18, 2024, to February 26, 2025 [1][4]. Group 1: Lawsuit Details - The lawsuit is filed in the United States District Court for the District of Colorado and asserts claims under various sections of the Securities Act of 1933 and the Securities Exchange Act of 1934 [1]. - The class action is titled Valentine v. Ibotta, Inc., et al., Case No. 25-cv-1615, and includes all individuals who purchased Ibotta securities during the specified class period [1][9]. Group 2: Allegations Against Ibotta - The class action alleges that Ibotta's management made false and misleading statements about the company's data measurement system, revenue generation, and client budgets [4]. - Specific claims include that Ibotta's data measurement system was not providing accurate real-time data, the business mix had shifted leading to reduced revenue, and that the company had "exhausted" client budgets, negatively impacting revenue expectations for Q4 2024 and Q1 2025 [4]. Group 3: Stock Price Impact - Following the release of disappointing financial results and revelations about the company's performance, Ibotta's stock price experienced significant declines, including a drop of nearly 27% on August 14, 2024, after reporting a 39% year-over-year decrease in redemptions [5]. - On November 14, 2024, the stock fell nearly 13% after the company indicated that client budgets had been exhausted faster than anticipated, with expectations of a further 20% decrease in D2C redemption revenue for 2025 [6]. - The most significant drop occurred on February 27, 2025, when the stock price fell nearly 46% after reporting only 4% revenue growth, which was well below expectations due to budget constraints [7].