Portnoy Law Firm Launches Probe as Investor Investigations Into Ardent Health Grow
The probes follow Ardent’s Q3 disclosure of a revenue reduction alongside higher liability reserves, preceding a steep selloff.
Overview
- The Portnoy Law Firm announced on November 25 that it opened an investigation into potential securities fraud at Ardent Health and may file a class action on behalf of investors.
- Johnson Fistel and The Schall Law Firm began separate investigations on November 24 and invited investors who incurred losses to contact them.
- Ardent disclosed on November 12 a $43 million reduction in revenue tied to a change in accounting estimates regarding accounts receivable collectability.
- The company also reported a $54 million increase to professional liability reserves related to claims in New Mexico.
- Following these disclosures, Ardent’s shares fell sharply, with reports noting a decline of nearly 34% the next day, and the matters remain at the investigative and solicitation stage with no class action filing reported in the coverage.