Stride, Inc. Shareholders File Class Action Alleging False Statements
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: PRnewswire
- False Statement Allegations: Stride, Inc. is accused of inflating enrollment numbers by retaining 'ghost students' during the class period from October 22, 2024, to October 28, 2025, potentially leading to significant shareholder losses.
- Compliance Issues: The company faces allegations of cutting staffing costs by assigning teachers caseloads beyond statutory limits and ignoring compliance requirements for employee background checks and federally mandated special education services, which could jeopardize its operational legality.
- Whistleblower Suppression: Stride is accused of suppressing whistleblowers who documented financial directives from leadership to delay hiring and deny services to maintain profit margins, potentially damaging the company's reputation.
- Shareholder Action Deadline: Shareholders must register by January 12, 2026, to participate in the class action and receive updates on the case's progress, with failure to register potentially impacting their rights to claims.
LRN
$66.08+Infinity%1D
Analyst Views on LRN
Wall Street analysts forecast LRN stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for LRN is 115.50 USD with a low forecast of 82.00 USD and a high forecast of 130.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
5 Analyst Rating
3 Buy
2 Hold
0 Sell
Moderate Buy
Current: 65.780
Low
82.00
Averages
115.50
High
130.00
Current: 65.780
Low
82.00
Averages
115.50
High
130.00
About LRN
Stride, Inc. is a technology company providing an educational platform to deliver online learning to students throughout the U.S. It provides a range of services including K-12 education, career learning, professional skills training, and talent development. Its platform hosts products and services to attract, enroll, educate, track progress, and support students. These products and services, spanning curriculum, systems, instruction, and support services, are designed to help learners of all ages reach their full potential through inspired teaching and personalized learning. Its platform addresses two markets in the K-12 space: General Education and Career Learning. Products and services for the General Education market are focused on core subjects for kindergarten through twelfth grade students to help build a common foundation of knowledge. Career Learning products and services are focused on developing skills to enter and succeed in careers in high-growth and in-demand industries.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
