Inspire(US:INSP) Prnewswire·2025-11-26 13:50Core Viewpoint - Inspire Medical Systems, Inc. is facing a securities class action lawsuit due to allegations of misleading investors regarding the launch of its Inspire V device for obstructive sleep apnea, which resulted in a significant decline in stock price [1][5]. Company Overview - Inspire Medical Systems, Inc. specializes in implantable neurostimulation technology aimed at improving respiration during sleep [3]. Legal Proceedings - The lawsuit, titled City of Pontiac Reestablished General Employees' Retirement System v. Inspire Medical Systems, Inc., targets the company and its executives, representing investors who acquired stock between August 6, 2024, and August 4, 2025 [2][6]. - The lead plaintiff deadline for the lawsuit is set for January 5, 2026 [2]. Allegations - The complaint alleges that the company misrepresented the transition to the Inspire V device as seamless, while in reality, it faced significant operational challenges [3][6]. - Key allegations include poor market demand, incomplete readiness for the launch, and undisclosed logistical issues that hindered the rollout of the Inspire V device [8]. Market Reaction - On August 4, 2025, Inspire Medical publicly acknowledged that the launch of the Inspire V device was facing an "elongated timeframe," leading to a drastic reduction in 2025 earnings guidance by over 80% [4][5]. - Following this announcement, the company's stock price plummeted by over 32% on heavy trading volume [5]. Investigation Focus - Hagens Berman is investigating potential misstatements or omissions related to the Inspire V device launch and its financial implications [7]. - The investigation is particularly focused on whether management was aware of critical operational flaws, such as billing code delays and training deficiencies, prior to the public disclosure [9].