SAN DIEGO–(BUSINESS WIRE)–The law firm of Robbins Geller Rudman & Dowd LLP announces that the GoodRx class action lawsuit seeks to represent purchasers or acquirers of GoodRx Holdings, Inc. (NASDAQ: GDRX) common stock between September 23, 2020 and November 8, 2022, inclusive (the “Class Period”). Captioned Barsuli v. GoodRx Holdings, Inc., No. 24-cv-03282 (C.D. Cal.), the GoodRx class action lawsuit charges GoodRx and certain of GoodRx’s top executives and directors with violations of the Securities Exchange Act of 1934.
If you suffered substantial losses and wish to serve as lead plaintiff of the GoodRx class action lawsuit, please provide your information here:
https://www.rgrdlaw.com/cases-goodrx-holdings-inc-class-action-lawsuit-gdrx.html
You can also contact attorneys J.C. Sanchez or Jennifer N. Caringal of Robbins Geller by calling 800/449-4900 or via e-mail at [email protected].
CASE ALLEGATIONS: GoodRx operates a price comparison platform for prescription drugs which, in many cases, offers consumers access to lower prices (through discount codes and coupons) for their medications. GoodRx also generates a portion of its revenue from subscription plans like the “Kroger Rx Savings Club,” which provides “access [to] lower prescription prices at” pharmacies operated by The Kroger Co.
The GoodRx class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) while Kroger accounted for less than 5% of the pharmacies accepting GoodRx discounts, Kroger was responsible for nearly 25% of GoodRx’s total prescription transactions revenue (Kroger’s primary revenue stream); and (ii) Kroger could unilaterally cease accepting GoodRx discounts, cutting off some or all of GoodRx’s revenues for purchases at Kroger’s pharmacies.
The GoodRx class action lawsuit further alleges that on May 9, 2022 GoodRx revealed that, late in the first quarter of 2022, “a grocery chain had taken actions that impacted acceptance of discounts from most [pharmacy benefit managers (“PBMs”)] for a subset of drugs” and that this “impacted the acceptance of many PBM discounts for certain drugs at this grocer’s stores” and that this disruption “could have an estimated revenue impact of roughly $30 million” in the second quarter of 2022 – resulting in GoodRX announcing disappointing second quarter 2022 revenue guidance of only about $190 million. GoodRx’s Co-Chief Executive Officer, defendant Trevor Bezdek, also admitted that the use of GoodRx discounts at the “grocery chain” – which analysts and media outlets recognized as Kroger – were responsible for nearly 25% of GoodRx’s prescription transactions revenue, according to the complaint. On this news, the price of GoodRx common stock fell more than 25%, according to GoodRx class action lawsuit.
Then, the GoodRx class action lawsuit further alleges that on November 8, 2022 GoodRX estimated that the “impact of the grocer issue on third quarter [prescription transactions revenue] was approximately $40 million” and that GoodRx expected “a combined $45 million to $50 million estimated impact to prescription transactions revenue” for the fourth quarter of 2022. Defendants further acknowledged that GoodRx was seeking to enter into contractual relationships with pharmacies to prevent similar disruptions from occurring in the future, according to the complaint. On this news, the price of GoodRx common stock fell more than 22%, according to GoodRx class action lawsuit.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired GoodRx common stock during the Class Period to seek appointment as lead plaintiff in the GoodRx class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the GoodRx class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the GoodRx class action lawsuit. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of the GoodRx class action lawsuit.
ABOUT ROBBINS GELLER: Robbins Geller is one of the world’s leading complex class action firms representing plaintiffs in securities fraud cases. The Firm is ranked #1 on the most recent ISS Securities Class Action Services Top 50 Report for recovering more than $1.75 billion for investors in 2022 – the third year in a row Robbins Geller tops the list. And in those three years alone, Robbins Geller recovered nearly $5.3 billion for investors, more than double the amount recovered by any other plaintiffs’ firm. With 200 lawyers in 10 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig. Please visit the following page for more information:
https://www.rgrdlaw.com/services-litigation-securities-fraud.html
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Contacts
Robbins Geller Rudman & Dowd LLP
J.C. Sanchez, Jennifer N. Caringal
655 W. Broadway, Suite 1900, San Diego, CA 92101
800-449-4900
[email protected]
