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INVESTOR NOTICE: Kaskela Law LLC Announces Investigation of Xponential Fitness, Inc. and Encourages Long-Term Investors to Contact the Firm - XPOF

1. Kaskela Law investigates XPOF for potential breach of fiduciary duty. 2. A securities fraud complaint was filed against XPOF by investors. 3. Analyst report alleges misleading statements by XPOF's CEO, Anthony Geisler. 4. XPOF shares fell 37% following negative analyst reports in June. 5. Further revelations led to another 22% drop after a Businessweek article.

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FAQ

Why Very Bearish?

The ongoing legal investigation and recent dramatic share price declines indicate deep-rooted issues for XPOF, reminiscent of past stock declines tied to corporate governance failures.

How important is it?

The article outlines severe allegations against XPOF's management, which could significantly sway investor confidence and stock performance in the near term.

Why Short Term?

The immediate fallout from the allegations and potential legal ramifications will likely impact investor sentiment and stock prices quickly.

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Kaskela Law LLC announces that it is investigating potential breach of fiduciary duty claims concerning Xponential Fitness, Inc. (NYSE:XPOF) ("Xponential") on behalf of the company's long-term investors.Click here to receive additional information about your legal rights and options: https://kaskelalaw.com/case/xponential-fitness-inc/Recently a securities fraud complaint was filed against Xponential on behalf of certain investors who purchased shares of the company's stock between July 26, 2021 and December 7, 2023.According to the complaint, on June 26, 2023, analyst firm Fuzzy Panda published a report on Xponential, which, among other things, reported that: (i) Xponential CEO, defendant Anthony Geisler, has had a long history of misleading investors; (ii) Xponential has issued a series of misleading statements about its store closures and the overall financial health of its franchisee base; and (iii) more than 50% of Xponential's studios never make a positive financial return. Following this report, shares of Xponential's stock fell $9.39 per share, or over 37% in value, to close on June 27, 2023 at $15.72 per share, on unusually heavy trading volume.Then, on December 7, 2023, Businessweek published an article entitled "Club Pilates, Pure Barre Owners Say Xponential Left Them Bankrupt," which stated that Businessweek had interviewed dozens of former business partners, employees, and franchisees of Xponential who revealed that Xponential misled many franchisees into a "financial nightmare." The article further stated defendant Geisler "has a track record of combative management, deploying growth-at-all-costs tactics and unleashing aggressive reprisals against anyone who gets in his way." On this news, shares of Xponential's stock fell an additional $2.99 per share, or 22% in value, to close on December 8, 2023 at $10.60 per share, again on unusually heavy trading volume.The investigation seeks to determine whether the members of Xponential's board of directors violated the securities laws and/or breached their fiduciary duties in connection with the above alleged misconduct.Current Xponential stockholders who purchased or acquired XPOF shares prior to December 7, 2023 are encouraged to contact Kaskela Law LLC (D. Seamus Kaskela, Esq. or Adrienne Bell, Esq.) at (484) 229 - 0750 for additional information about this investigation and their legal rights and options.Alternatively, investors may submit their information to the firm by clicking on the following link (or if necessary, by copying and pasting the link into your browser):https://kaskelalaw.com/case/xponential-fitness-inc/Kaskela Law LLC exclusively represents investors in securities fraud, corporate governance, and merger & acquisition litigation on a contingent basis. For additional information about Kaskela Law LLC please visit www.kaskelalaw.com.CONTACT:KASKELA LAW LLCD. Seamus Kaskela, Esq. ([email protected]) Adrienne Bell, Esq. ([email protected]) 18 Campus Blvd., Suite 100 Newtown Square, PA 19073 (888) 715 - 1740 (484) 229 - 0750 www.kaskelalaw.comThis notice may constitute attorney advertising in certain jurisdictions.SOURCE: Kaskela Law LLC

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