Veritone Executives Face Securities Class Action Over Revenue Misstatements
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Source: PRnewswire
- Lawsuit Background: Veritone, Inc. (NASDAQ:VERI) faces a securities class action against executives Ryan Steelberg and Michael L. Zemetra for alleged revenue overstatements from October 14, 2025, to April 14, 2026, resulting in significant shareholder losses.
- Stock Price Plunge: Following the company's revelation of ongoing finalization of certain revenue transactions, Veritone's stock dropped $0.77 (29.5%) in a single session, indicating severe market concerns regarding the company's financial transparency.
- Executive Accountability: Under the Sarbanes-Oxley Act, Steelberg and Zemetra, as CEO and CFO, are required to certify the accuracy of the company's quarterly and annual filings, yet their signed documents acknowledged a pre-existing material weakness in internal controls.
- Legal Implications: The lawsuit asserts claims under Section 20(a) of the Securities Exchange Act, holding both executives as
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Analyst Views on VERI
Wall Street analysts forecast VERI stock price to rise
3 Analyst Rating
2 Buy
1 Hold
0 Sell
Moderate Buy
Current: 1.450
Low
6.00
Averages
8.33
High
10.00
Current: 1.450
Low
6.00
Averages
8.33
High
10.00
About VERI
Veritone, Inc. builds human-centered enterprise artificial intelligence (AI) solutions. Its AI operating system, aiWARE, uses machine learning algorithms, or AI models, together with a suite of applications, to reveal valuable insights from vast amounts of structured and unstructured data. Highly modular and customizable, aiWARE enables expansive scale with the flexibility to deploy in the cloud, at the edge or in hybrid environments. Its aiWARE platform offers capabilities that are designed to mimic human cognitive functions such as perception, prediction and problem solving, enabling users to transform unstructured data into structured data, and analyze and optimize data to drive business processes and insights. Its aiWARE platform encompasses industry applications, automate studio and developer APIs, intelligent data lake, applications and cognitive analytics, and generative AI. It serves customers in the media, entertainment, public sector and talent acquisition 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.
Notice of Class Action Lawsuit for Veritone Shareholders
- Lawsuit Background: The Gross Law Firm has issued a notice to shareholders of Veritone, Inc. (NASDAQ: VERI), encouraging those who purchased shares during the class period from October 14, 2025, to April 14, 2026, to contact the firm regarding potential lead plaintiff appointment.
- Allegations: The complaint alleges that during the class period, the company issued materially false and/or misleading statements and failed to disclose inaccuracies in revenue and cost classifications, resulting in overstated revenue, assets, and other comprehensive income.
- Internal Control Deficiencies: Veritone is accused of maintaining deficient internal controls over accounting and financial reporting, which would necessitate a restatement of certain financial statements, thereby undermining investor confidence in the company's operations and prospects.
- Shareholder Action Steps: Shareholders must register for the class action by July 20, 2026, and upon registration, they will receive status updates throughout the case lifecycle, with no cost or obligation to participate in the lawsuit.
See More
Veritone Faces Securities Class Action Lawsuit
- Lawsuit Background: Veritone, Inc. is facing a securities class action lawsuit representing investors who purchased its securities between October 14, 2025, and April 14, 2026, stemming from the company's admission that certain financial statements should no longer be relied upon, which has led to a significant drop in stock price.
- Stock Price Volatility: Since March 26, 2026, Veritone's stock price has cumulatively dropped over 29% due to a series of disclosures regarding financial issues, with further declines of 9% and 8% following announcements of delayed financial reports and restatements on April 1 and April 14, respectively.
- Financial Misconduct: The lawsuit alleges that Veritone failed to accurately record and classify certain revenues and costs, resulting in severe overstatements of revenues, assets, and other comprehensive income, causing substantial losses for investors.
- Investigation Progress: Hagens Berman is investigating whether Veritone and its management intentionally misled investors, and encourages individuals with knowledge to contact the firm to assist in the investigation.
See More
Veritone Faces Class Action Lawsuit; Investors Encouraged to Contact Attorneys
- Class Action Filed: Bragar Eagel & Squire has initiated a class action lawsuit against Veritone in the Central District of California, representing investors who purchased the company's securities between October 14, 2025, and April 14, 2026, highlighting significant investor concerns regarding financial transparency.
- Allegations of Financial Misstatements: The lawsuit alleges that Veritone inaccurately recorded and misclassified revenue and costs during the class period, resulting in overstated revenue, assets, and other comprehensive income, indicating serious deficiencies in internal controls that may necessitate restating financial statements.
- Investor Losses: As the true details emerged, investors faced losses, with the lawsuit emphasizing that the positive statements made by executives regarding the company's financial health lacked a reasonable basis, potentially exerting further pressure on the stock price.
- Opportunity for Legal Consultation: Investors are encouraged to apply to be lead plaintiffs by July 20, 2026, with Bragar Eagel & Squire offering no-cost legal consultations, demonstrating a commitment to protecting investor rights.
See More
Veritone Faces Securities Class Action Lawsuit
- Lawsuit Background: Veritone, Inc. is facing a securities class action lawsuit aimed at representing investors who purchased its securities between October 14, 2025, and April 14, 2026, following the company's admission that certain financial statements should no longer be relied upon, which has led to a significant drop in stock price.
- Stock Price Volatility: Since March 26, 2026, Veritone's stock price has sharply declined due to a series of financial issues, including a more than 29% drop on March 27, followed by declines of over 9% on April 1 and 8% on April 15, reflecting investor panic and loss of confidence.
- Financial Misconduct: The lawsuit alleges that Veritone failed to accurately record and classify certain revenues and costs, resulting in overstated revenues and assets, particularly accounts receivable, which severely impacts investor confidence and may subject the company to stricter audit and compliance requirements.
- Investigation Progress: Hagens Berman has initiated an investigation into whether Veritone and its management intentionally misled investors, encouraging affected investors to submit their losses to support potential legal actions and recoveries.
See More
Veritone Faces Class Action Lawsuit Over Securities Violations
- Lawsuit Background: Bronstein, Gewirtz & Grossman has filed a class action lawsuit against Veritone, alleging violations of federal securities laws on behalf of all investors who purchased Veritone securities between October 14, 2025, and April 14, 2026.
- Financial Misconduct: The complaint alleges that Veritone made false and misleading statements regarding its financial reporting, inaccurately recording and misclassifying revenue and costs, which led to inflated revenue, assets, and accounts receivable, misleading investors about the company's financial health.
- Internal Control Deficiencies: The lawsuit highlights that Veritone maintained inadequate internal controls over accounting and financial reporting, necessitating a restatement of certain financial statements, which further eroded investor confidence and damaged the company's reputation.
- Investor Action: Affected investors must apply to be lead plaintiffs by July 20, 2026, and Bronstein, Gewirtz & Grossman operates on a contingency fee basis, ensuring that investors do not incur additional costs in pursuing this legal action.
See More
Veritone Faces Securities Fraud Allegations
- False Financial Data: Veritone allegedly inflated its Q3 2025 revenue figures by approximately $2.2 million in its October 2025 prospectus, leading investors to make decisions based on unreliable financials, potentially resulting in significant financial losses.
- Lawsuit Initiation: A class action lawsuit against Veritone was filed on April 14, 2026, alleging violations of securities laws between October 14, 2025, and April 14, 2026, with investors possibly suffering losses due to reliance on false financial information.
- Capital Raising Motivation: The lawsuit claims that Veritone solidified its liquidity position through two equity offerings, with the CEO publicly touting these raises as evidence of strong execution, despite the underlying inflated revenue figures.
- Investor Protection Mechanism: The PSLRA provides rights for harmed investors to demand thorough examinations of false securities statements, particularly when financial data in offering documents is later restated, ensuring their interests are safeguarded.
See More
Notice of Class Action Lawsuit for Veritone Shareholders
- Lawsuit Background: The Gross Law Firm has issued a notice to shareholders of Veritone, Inc. (NASDAQ: VERI), encouraging those who purchased shares during the class period from October 14, 2025, to April 14, 2026, to contact the firm regarding potential lead plaintiff appointment.
- Allegations: The complaint alleges that during the class period, the company issued materially false and/or misleading statements and failed to disclose inaccuracies in revenue and cost classifications, resulting in overstated revenue, assets, and other comprehensive income.
- Internal Control Deficiencies: Veritone is accused of maintaining deficient internal controls over accounting and financial reporting, which would necessitate a restatement of certain financial statements, thereby undermining investor confidence in the company's operations and prospects.
- Shareholder Action Steps: Shareholders must register for the class action by July 20, 2026, and upon registration, they will receive status updates throughout the case lifecycle, with no cost or obligation to participate in the lawsuit.
See More
Veritone Faces Securities Class Action Lawsuit
- Lawsuit Background: Veritone, Inc. is facing a securities class action lawsuit representing investors who purchased its securities between October 14, 2025, and April 14, 2026, stemming from the company's admission that certain financial statements should no longer be relied upon, which has led to a significant drop in stock price.
- Stock Price Volatility: Since March 26, 2026, Veritone's stock price has cumulatively dropped over 29% due to a series of disclosures regarding financial issues, with further declines of 9% and 8% following announcements of delayed financial reports and restatements on April 1 and April 14, respectively.
- Financial Misconduct: The lawsuit alleges that Veritone failed to accurately record and classify certain revenues and costs, resulting in severe overstatements of revenues, assets, and other comprehensive income, causing substantial losses for investors.
- Investigation Progress: Hagens Berman is investigating whether Veritone and its management intentionally misled investors, and encourages individuals with knowledge to contact the firm to assist in the investigation.
See More
Veritone Faces Class Action Lawsuit; Investors Encouraged to Contact Attorneys
- Class Action Filed: Bragar Eagel & Squire has initiated a class action lawsuit against Veritone in the Central District of California, representing investors who purchased the company's securities between October 14, 2025, and April 14, 2026, highlighting significant investor concerns regarding financial transparency.
- Allegations of Financial Misstatements: The lawsuit alleges that Veritone inaccurately recorded and misclassified revenue and costs during the class period, resulting in overstated revenue, assets, and other comprehensive income, indicating serious deficiencies in internal controls that may necessitate restating financial statements.
- Investor Losses: As the true details emerged, investors faced losses, with the lawsuit emphasizing that the positive statements made by executives regarding the company's financial health lacked a reasonable basis, potentially exerting further pressure on the stock price.
- Opportunity for Legal Consultation: Investors are encouraged to apply to be lead plaintiffs by July 20, 2026, with Bragar Eagel & Squire offering no-cost legal consultations, demonstrating a commitment to protecting investor rights.
See More
Veritone Faces Securities Class Action Lawsuit
- Lawsuit Background: Veritone, Inc. is facing a securities class action lawsuit aimed at representing investors who purchased its securities between October 14, 2025, and April 14, 2026, following the company's admission that certain financial statements should no longer be relied upon, which has led to a significant drop in stock price.
- Stock Price Volatility: Since March 26, 2026, Veritone's stock price has sharply declined due to a series of financial issues, including a more than 29% drop on March 27, followed by declines of over 9% on April 1 and 8% on April 15, reflecting investor panic and loss of confidence.
- Financial Misconduct: The lawsuit alleges that Veritone failed to accurately record and classify certain revenues and costs, resulting in overstated revenues and assets, particularly accounts receivable, which severely impacts investor confidence and may subject the company to stricter audit and compliance requirements.
- Investigation Progress: Hagens Berman has initiated an investigation into whether Veritone and its management intentionally misled investors, encouraging affected investors to submit their losses to support potential legal actions and recoveries.
See More
Veritone Faces Class Action Lawsuit Over Securities Violations
- Lawsuit Background: Bronstein, Gewirtz & Grossman has filed a class action lawsuit against Veritone, alleging violations of federal securities laws on behalf of all investors who purchased Veritone securities between October 14, 2025, and April 14, 2026.
- Financial Misconduct: The complaint alleges that Veritone made false and misleading statements regarding its financial reporting, inaccurately recording and misclassifying revenue and costs, which led to inflated revenue, assets, and accounts receivable, misleading investors about the company's financial health.
- Internal Control Deficiencies: The lawsuit highlights that Veritone maintained inadequate internal controls over accounting and financial reporting, necessitating a restatement of certain financial statements, which further eroded investor confidence and damaged the company's reputation.
- Investor Action: Affected investors must apply to be lead plaintiffs by July 20, 2026, and Bronstein, Gewirtz & Grossman operates on a contingency fee basis, ensuring that investors do not incur additional costs in pursuing this legal action.
See More
Veritone Faces Securities Fraud Allegations
- False Financial Data: Veritone allegedly inflated its Q3 2025 revenue figures by approximately $2.2 million in its October 2025 prospectus, leading investors to make decisions based on unreliable financials, potentially resulting in significant financial losses.
- Lawsuit Initiation: A class action lawsuit against Veritone was filed on April 14, 2026, alleging violations of securities laws between October 14, 2025, and April 14, 2026, with investors possibly suffering losses due to reliance on false financial information.
- Capital Raising Motivation: The lawsuit claims that Veritone solidified its liquidity position through two equity offerings, with the CEO publicly touting these raises as evidence of strong execution, despite the underlying inflated revenue figures.
- Investor Protection Mechanism: The PSLRA provides rights for harmed investors to demand thorough examinations of false securities statements, particularly when financial data in offering documents is later restated, ensuring their interests are safeguarded.
See More
