Stride(US:LRN) Prnewswire·2025-12-16 05:09Core Viewpoint - Hagens Berman is investigating Stride, Inc. for alleged fraudulent enrollment metrics and operational failures that led to significant investor losses, with a class action lawsuit deadline set for January 12, 2026 [1][11]. Group 1: Allegations of Fraud - The lawsuit claims that Stride engaged in two fraudulent schemes: inflating enrollment figures through "Ghost Students" and a catastrophic technology platform failure [2][5]. - The alleged enrollment fraud involved retaining "Ghost Students" to artificially inflate metrics, which resulted in an 11% stock drop upon initial disclosure [6]. - The concealed technology failure blocked access for 10,000 to 15,000 students, leading to a forecasted sales growth drop to 5% from a historical 19%, and triggered a 54% stock crash in one day [8][7]. Group 2: Financial Impact - The cumulative impact of the fraudulent disclosures caused a loss of billions in market capitalization for Stride, with the stock crashing 54% in a single day [2][4]. - The operational failures and misrepresentations regarding business metrics are central to the lawsuit, which seeks to recover losses for investors who purchased LRN securities during the Class Period from October 22, 2024, to October 28, 2025 [9]. Group 3: Next Steps for Investors - Investors who suffered losses are encouraged to contact Hagens Berman to discuss their rights and potentially participate in the class action lawsuit [1][11]. - The firm is actively advising affected investors and is focused on gathering evidence linking the alleged operational failures to the stock crash [4][11].