STRIDE NOTICE: Stride, Inc. (LRN) Investors are Notified of Securities Fraud Class Action and to Contact BFA Law by January 12
StrideStride(US:LRN) Newsfile·2025-12-12 13:36

Core Viewpoint - Stride, Inc. is facing a class action lawsuit for securities fraud, which has led to significant stock price drops due to alleged violations of federal securities laws [1][3]. Group 1: Lawsuit Details - A class action lawsuit has been filed against Stride, Inc. and certain senior executives for securities fraud, with investors encouraged to contact BFA Law by January 12, 2026 [1][3]. - The lawsuit claims violations under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and is pending in the U.S. District Court for the Eastern District of Virginia [3]. Group 2: Allegations Against Stride - Stride is accused of inflating enrollment numbers by retaining "ghost students" to secure state funding, ignoring compliance requirements, and providing a poor customer experience that led to higher withdrawal rates and lower conversion rates [4][5]. - The company had previously claimed to be experiencing growth and strong demand for its products, which is now being challenged by the allegations [4]. Group 3: Stock Price Impact - Following the fraud allegations reported on September 14, 2025, Stride's stock dropped by $18.60 per share, or over 11%, from $158.36 to $139.76 [5]. - On October 28, 2025, Stride admitted to issues with customer experience, leading to an estimated 10,000-15,000 fewer enrollments, which caused the stock to plummet by $83.48 per share, or more than 54%, from $153.53 to $70.05 [6].