BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors that purchased Molina Healthcare, Inc. (“Molina” or the “Company”) (NYSE: MOH) securities between October 31, 2014 and August 2, 2017, inclusive (the “Class Period”). Molina investors have until June 29, 2018 to file a lead plaintiff motion.
Investors that suffered losses on their Molina investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to firstname.lastname@example.org.
On August 2, 2017, the Company withdrew its 2017 earnings outlook and announced that it will eliminate 1,500 jobs, and exit certain Obamacare markets after the health insurer posted a steep second quarter loss. On this news Molina shares fell nearly 6%, or $3.92 per share, to close at $62.32 per share on August 3, 2017. The Company’s shares continued to fall the following trading day, closing down $2.52 per share, or over 4%, to close at $59.80 per share on August 4, 2017.
The complaint filed in this class action alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose that:(1) Molina's administrative infrastructure was never designed to handle the size and complexity of its rapid growth strategy; and (2) it failed to remediate systemic issues and costly disruptions with critical administrative infrastructure functions, including provider payment and utilization management.
If you purchased shares of Molina during the Class Period, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to email@example.com, or visit our website at www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.