StockNews.AI
XPOF
StockNews.AI
183 days

SHAREHOLDER ALERT: Kaskela Law LLC Announces Shareholder Investigation of Xponential Fitness, Inc. (NYSE: XPOF) and Encourages Long-Term Xponential Investors to Contact the Firm

1. Kaskela Law is investigating XPOF for alleged securities fraud. 2. XPOF shares fell 37% after a damaging analyst report in June. 3. Businessweek reported franchisees were misled, causing further 22% drop. 4. Investors claim improper handling by management and board violations.

5m saved
Insight
Article

FAQ

Why Very Bearish?

The reported securities fraud and management issues lead to lost investor confidence, as seen in previous stock drops following negative news.

How important is it?

The ongoing investigation and prior public statements directly threaten investor trust and stock value, significantly impacting XPOF's financial outlook.

Why Short Term?

Short-term pressure from legal investigations and franchisee fallout can trigger further declines or volatility in stock price.

Related Companies

PHILADELPHIA, Feb. 17, 2025 (GLOBE NEWSWIRE) -- Kaskela Law LLC announces that it is investigating Xponential Fitness, Inc. (NYSE: XPOF) (“Xponential”) on behalf of the company’s long-term shareholders. Click here for additional information: 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. As detailed in 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 and disclosures. 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 LLC D. Seamus Kaskela, Esq.(skaskela@kaskelalaw.com)Adrienne Bell, Esq.(abell@kaskelalaw.com)18 Campus Blvd., Suite 100Newtown Square, PA 19073(888) 715 – 1740(484) 229 – 0750www.kaskelalaw.com This notice may constitute attorney advertising in certain jurisdictions.

Related News