Molina Healthcare(US:MOH) Prnewswireยท2025-10-13 13:15Core Viewpoint - The Molina Healthcare class action lawsuit alleges that the company and its executives violated the Securities Exchange Act of 1934 by failing to disclose critical adverse information regarding its financial health and operational challenges during the specified class period [1][4]. Group 1: Class Action Details - The class action lawsuit is titled Hindlemann v. Molina Healthcare, Inc., and covers purchasers of Molina Healthcare securities from February 5, 2025, to July 23, 2025, with a deadline of December 2, 2025, for seeking lead plaintiff status [1]. - The lawsuit claims that Molina Healthcare did not disclose material facts about its medical cost trend assumptions and the dislocation between premium rates and medical costs [4]. Group 2: Financial Performance and Impact - On July 7, 2025, Molina Healthcare reported adjusted earnings of approximately $5.50 per share, which was below prior expectations due to medical cost pressures across all business lines, leading to a 10.2% cut in earnings guidance [5]. - Following the financial results announcement on July 23, 2025, Molina Healthcare reported a GAAP net income of $4.75 per diluted share for Q2 2025, an 8% decrease year-over-year, and revised its full-year 2025 adjusted earnings guidance to no less than $19.00 per diluted share [6]. Group 3: Legal Process and Representation - The Private Securities Litigation Reform Act of 1995 allows any investor who purchased Molina Healthcare securities during the class period to seek lead plaintiff status, which involves directing the class action lawsuit on behalf of all class members [7]. - Investors are not required to serve as lead plaintiff to share in any potential recovery from the lawsuit [7]. Group 4: Company Overview - Molina Healthcare provides managed healthcare services primarily to low-income families and individuals under Medicaid and Medicare programs [3].