Molina Healthcare Investors Face Dec. 2 Deadline to Seek Lead Role in Securities Case
Plaintiffs say the company hid a premium–cost misalignment tied to rising utilization, leading to July guidance cuts.
Overview
- A federal securities class action, Hindlemann v. Molina Healthcare, Inc., No. 25-cv-09461, is pending in the U.S. District Court for the Central District of California.
- Investor law firms are urging those who bought MOH shares between February 5 and July 23, 2025 to move for lead-plaintiff status by December 2, 2025.
- The complaint alleges false or misleading statements about medical cost trend assumptions and a dislocation between premium rates and medical costs.
- Filings assert that Molina twice reduced 202t5 earnings guidance on July 7 and July 23 due to a challenging medical cost environment and higher utilization across behavioral health, pharmacy, and inpatient and outpatient services.
- Following the July 23 disclosure, the stock fell 16.84% to $158.22 on July 24, 2025, and the putative class has not been certified.