Stride Faces Investor Probes After Enrollment Shortfall Disclosure

Overview

• Faruqi & Faruqi, Levi & Korsinsky, and The Schall Law Firm announced investigations on November 4–5 into possible securities-law violations at Stride.
• Stride’s October 28 Q1 fiscal 2026 update said the company limited enrollment growth and encountered system implementation problems that led to approximately 10,000 to 15,000 fewer enrollments.
• The company beat quarterly earnings expectations but reported weaker enrollment metrics and issued disappointing guidance for Q2 and the full year.
• Stride shares fell more than 50% following the disclosure, with law-firm notices citing intraday losses on October 29 and a next-day drop exceeding 54%.
• The investigations focus on whether Stride made false or misleading statements or failed to disclose material information, and the firms are urging investors with losses to contact them.