WEALTHFRONT STOCK NOTICE: Wealthfront Corporation (WLTH) Investigated for Misleading Investors – BFA Law Notifies Investors to Contact the Firm
Globenewswire·2026-02-03 11:36

Core Viewpoint - Wealthfront Corporation is under investigation for potential violations of federal securities laws, particularly concerning misleading statements made during its IPO process [1][3]. Group 1: Company Overview - Wealthfront is an online financial advisor that utilizes automated tools to provide investment and financial advice [2]. - The company completed its initial public offering (IPO) on December 12, 2025, offering over 34 million shares at a price of $14.00 per share [2]. Group 2: Financial Performance - Wealthfront reported net deposit outflows of $208 million for its first quarterly results as a publicly traded company, a significant decline from the $874 million in inflows during the same period the previous year [4]. - The stock price of Wealthfront dropped by $2.12 per share, nearly 17%, from $12.59 on January 12, 2026, to $10.47 on January 13, 2026, following the release of these results [4]. Group 3: Management Insights - CEO David Fortunato attributed the decline in deposits to falling interest rates and highlighted the strategic importance of Wealthfront's new home-lending business as a protective measure against further declines [4]. - Fortunato disclosed that he holds a 95.1% stake in Wealthfront's home-lending business and mentioned the possibility of revisiting the ownership structure [4].