Molina Healthcare Investors Face Dec. 2 Deadline in Securities Class Action Over Cost Trend Disclosures
Plaintiffs allege undisclosed cost pressures made Molina’s 2025 guidance cuts inevitable.
Overview
- Investors who bought Molina Healthcare securities from February 5 to July 23, 2025 have until December 2, 2025 to seek lead‑plaintiff status.
- Law firms including Wolf Haldenstein, The Schall Law Firm, DJS Law Group, Rosen Law Firm, Howard G. Smith, and Robbins Geller are recruiting class members.
- The complaint claims Molina understated problems with its medical cost trend assumptions, faced a mismatch between premium rates and costs, and relied on unusually low utilization in behavioral health, pharmacy, and inpatient/outpatient services.
- The suit ties alleged omissions to July 2025 disclosures: adjusted EPS of about $5.50 on July 7 with a guidance trim, followed by GAAP EPS of $4.75 and guidance of at least $19.00 on July 23, after which the stock fell nearly 17%.
- The case is pending in the Central District of California as Hindlemann v. Molina Healthcare, Inc., No. 25‑cv‑09461, and no class has been certified.