Core Viewpoint - Bragar Eagel & Squire, P.C. is investigating potential claims against Zynex, Inc. due to a class action complaint alleging breaches of fiduciary duties by the board of directors [1] Company Overview - Zynex, Inc. is facing scrutiny for allegedly inflating its stock price through false and misleading statements regarding its financial performance and operational practices [6] - The company reportedly engaged in a systemic "oversupplying scheme," shipping excessive quantities of supplies and billing insurers for inflated amounts [6] Financial Impact - The misconduct was revealed on March 11, 2025, when Zynex announced a significant revenue shortfall attributed to slower payments from insurers, particularly Tricare, which accounts for 20-25% of its annual revenue [6] - Following the announcement, Zynex's stock price dropped by $3.59 per share, or 51.3%, closing at $3.41 per share, resulting in a substantial loss of shareholder value [6]

Core Viewpoint - Zynex, Inc. is under investigation for potential claims related to a class action complaint alleging that the company's board of directors breached their fiduciary duties by misleading investors about financial performance and operational practices [1][2]. Summary by Relevant Sections Allegations of Misconduct - The complaint claims that Zynex's management engaged in practices that artificially inflated the company's stock price through false statements regarding financial performance and compliance with insurance reimbursement policies [2]. - It is alleged that Zynex operated a systemic "oversupplying scheme," shipping excessive quantities of supplies to patients and billing insurers significantly more than necessary [2]. Financial Impact and Regulatory Scrutiny - The extent of Zynex's misconduct was revealed on March 11, 2025, when the company announced a revenue shortfall due to slower payments from insurers, particularly Tricare, which accounted for 20-25% of its annual revenue [3]. - Following the announcement, Zynex's stock price fell by $3.59 per share, or 51.3%, closing at $3.41 per share, indicating a severe loss of shareholder value and highlighting the company's exposure to regulatory and financial risks [4].