Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Molina Healthcare, Inc. due to alleged violations of federal securities laws, encouraging affected investors to contact them before the December 2, 2025 deadline for lead plaintiff applications in a federal securities class action [4][6]. Summary by Sections Company Overview - Molina Healthcare, Inc. is a publicly traded company on the NYSE under the ticker MOH [4]. Allegations and Financial Impact - The complaint alleges that Molina and its executives made false or misleading statements regarding the company's medical cost trend assumptions and financial guidance for fiscal year 2025 [6]. - Specific issues cited include a dislocation between premium rates and medical costs, reliance on low utilization of various health services, and the likelihood of cutting financial guidance [6]. Financial Results and Stock Performance - On July 7, 2025, Molina announced second-quarter results with adjusted earnings of approximately $5.50 per share, leading to a 10.2% cut in full-year earnings guidance from at least $24.50 to a range of $21.50 to $22.50 per share [7]. - Following this announcement, Molina's stock price fell by $6.97, or 2.9%, closing at $232.61 per share [7]. - On July 23, 2025, Molina further reduced its full-year earnings guidance, reporting a GAAP net income of $4.75 per diluted share for the second quarter, an 8% decrease year-over-year, and cutting guidance to no less than $19.00 per diluted share [8][9]. - This led to a significant stock price drop of $32.03, or 16.84%, closing at $158.22 per share on July 24, 2025 [9]. Legal Proceedings - The deadline for investors to seek the role of lead plaintiff in the class action is December 2, 2025 [4]. - Any member of the putative class can move the court to serve as lead plaintiff or remain an absent class member without affecting their ability to share in any recovery [10]. Call for Information - Faruqi & Faruqi encourages anyone with information regarding Molina's conduct, including whistleblowers and former employees, to contact them [11].
Faruqi & Faruqi Reminds Molina Healthcare Investors of the Pending Class Action Lawsuit with a Lead Plaintiff Deadline of December 2, 2025 - MOH