Stride(US:LRN) Globenewswire·2026-01-04 17:00Core Viewpoint - Hagens Berman is reminding investors in Stride, Inc. (NYSE: LRN) about the deadline of January 12, 2026, to apply for lead plaintiff status in a securities class action lawsuit related to significant losses incurred by investors due to alleged fraudulent activities [1][11]. Group 1: Allegations of Fraud - The lawsuit claims that Stride, Inc. engaged in two fraudulent schemes: inflating enrollment figures through "Ghost Students" and a significant technology platform failure, which collectively caused a 54% stock crash in one day, resulting in billions in market capitalization loss [2][4]. - The complaint outlines that Stride and its executives misled investors regarding key business metrics and operational stability, with the CEO acknowledging that the platform upgrade failure led to a "poor customer experience," contradicting previous claims of strong growth [3][4]. Group 2: Specific Allegations - Enrollment Fraud: Stride allegedly used unlawful practices by retaining "Ghost Students" to artificially inflate enrollment metrics, leading to an 11% stock drop upon partial disclosure of these facts [6]. - Technology Catastrophe: The company reportedly failed to disclose severe issues with a critical platform upgrade that blocked access for approximately 10,000 to 15,000 enrolled students, resulting in a forecasted sales growth reduction to 5% from a historical 19%, which triggered the 54% stock crash [7][8]. Group 3: Legal Proceedings and Investor Impact - The lawsuit seeks to recover losses for investors who purchased LRN securities during the Class Period from October 22, 2024, to October 28, 2025, holding Stride and its executives accountable for alleged misrepresentations [9]. - Hagens Berman is actively advising affected investors and emphasizes the importance of contacting them before the lead plaintiff deadline [10][11].