The Shuman Law Firm Investigates eHealth, Inc.

BOULDER, Colo.--()--The Shuman Law Firm announces that it is investigating potential claims against certain officers and directors of eHealth, Inc. (“eHealth” or the “Company”) (NASDAQ: EHTH). eHealth is a Mountain View, CA-based company that provides online health insurance services in the United States and China.

The Firm’s investigation relates to potential damages to eHealth caused by allegedly false and misleading public statements made by the Company’s senior officers and directors regarding the Company’s true financial condition and future business prospects. Specifically, the Firm is investigating eHealth’s senior officers and directors’ public statements regarding the Company’s conversion rate (the percentage of applicants who became paying policyholders) and its churn rate (the percentage of attrition). These metrics were critical to eHealth’s ability to forecast future business.

On January 14, 2015, eHealth lowered its fiscal year 2014 revenue guidance to a range of $178 to $180 million from its prior revenue guidance in the range of $185 million to $194 million. Shortly thereafter, on February 24, 2015, The Company issued disappointing fiscal 2014 financial results and disclosed that historical trends for conversion and churn had changed “significantly”. Following these revelations, eHealth’s stock price fell dramatically and a class action lawsuit was filed against the Company, its CEO and CFO. As recently as January of 2014, eHealth’s stock was trading at more than $60 per share. The Company’s stock closed on August 28, 2015 at $14.42 per share.

If you currently own eHealth common stock and are interested in discussing your rights as a shareholder, or have information relating to this investigation, please contact Kip B. Shuman or Rusty E. Glenn toll-free at (866) 569-4531or email Mr. Shuman at kip@shumanlawfirm.com or email Mr. Glenn at rusty@shumanlawfirm.com.

The Shuman Law Firm represents investors throughout the nation, concentrating its practice in stockholder litigation.

Contacts

The Shuman Law Firm
Kip B. Shuman, Esq., 303-861-3003
kip@shumanlawfirm.com
or
Rusty E. Glenn, Esq., 303-861-3003
rusty@shumanlawfirm.com
or
Toll-Free: 866-569-4531
Fax: 303-484-4886
www.shumanlawfirm.com

Release Summary

The Shuman Law Firm investigates eHealth, Inc. (Nasdaq: EHTH).

Contacts

The Shuman Law Firm
Kip B. Shuman, Esq., 303-861-3003
kip@shumanlawfirm.com
or
Rusty E. Glenn, Esq., 303-861-3003
rusty@shumanlawfirm.com
or
Toll-Free: 866-569-4531
Fax: 303-484-4886
www.shumanlawfirm.com