Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Civitas Resources, Inc. due to allegations of violations of federal securities laws, particularly concerning misleading statements about the company's oil production and financial health [3][5]. Group 1: Allegations Against Civitas - The complaint alleges that Civitas was likely to significantly reduce its oil production in 2025 due to declines following a production peak at the DJ Basin in Q4 2024 and a low TIL count at the end of 2024 [5]. - It is claimed that increasing oil production would necessitate acquiring additional acreage and development locations, leading to significant debt and asset sales to offset acquisition costs [5]. - The company's financial condition is said to require disruptive cost-reduction measures, including a significant workforce reduction [5]. - As a result, Civitas's business and financial prospects, as well as operational capabilities, were overstated, making public statements materially false and misleading [5]. Group 2: Financial Performance and Market Reaction - On February 24, 2025, Civitas reported its Q4 and full-year financial results, missing consensus estimates in revenue and non-GAAP EPS, and announced a 10% workforce reduction [6]. - Following this news, Civitas's stock price fell by $8.95, or 18.2%, closing at $40.35 per share on February 25, 2025, resulting in investor losses [7]. Group 3: Legal Proceedings and Investor Actions - Investors who suffered losses exceeding $100,000 in Civitas between February 27, 2024, and February 24, 2025, are encouraged to discuss their legal rights with Faruqi & Faruqi [1]. - There is a July 1, 2025, deadline for investors to seek the role of lead plaintiff in the federal securities class action filed against Civitas [3]. - The firm is also seeking information from whistleblowers, former employees, and shareholders regarding Civitas's conduct [9].
CIVI Investors Have the Opportunity to Lead the Civitas Resources Securities Fraud Lawsuit with Faruqi & Faruqi, LLP