Core Viewpoint - The Ardent Health class action lawsuit alleges that the company and its executives made misleading statements regarding financial practices and failed to disclose critical information about accounts receivable and liability reserves, leading to significant financial losses for investors during the specified class period [1][3][4]. Company Overview - Ardent Health, Inc. operates a network of hospitals and clinics providing various healthcare services [2]. Allegations of the Lawsuit - The lawsuit claims that Ardent Health did not rely on accurate methods for determining the collectability of accounts receivable, which allowed the company to report inflated figures [3]. - It is alleged that Ardent Health's accounts receivable framework utilized a 180-day cliff for reserving accounts, delaying the recognition of losses on uncollectible accounts [3]. - The lawsuit states that Ardent Health did not maintain sufficient professional malpractice liability insurance and that its reserves were inadequate to cover increasing social inflationary pressures in medical malpractice cases [3]. Financial Impact - On November 12, 2025, Ardent Health reported a $43 million decrease in third-quarter 2025 revenue due to revised accounts receivable collectability assessments after transitioning to a new revenue accounting system [4]. - The company also cut its 2025 EBITDA guidance by approximately 9.6%, from a range of $575 million - $615 million to $530 million - $555 million, citing persistent industry-wide cost pressures [4]. - Following these announcements, Ardent Health's stock price fell nearly 34% [4]. Lead Plaintiff Process - The Private Securities Litigation Reform Act of 1995 allows investors who purchased Ardent Health securities during the class period to seek appointment as lead plaintiff in the lawsuit, representing the interests of all class members [5].
INVESTOR ALERT: Ardent Health, Inc. Investors with Substantial Losses Have Opportunity to Lead Class Action Lawsuit, Robbins Geller Rudman & Dowd LLP Announces - ARDT