Law Offices of Frank R. Cruz Encourages Elevance Health, Inc. (ELV) Investors To Inquire About Securities Fraud Class Action

LOS ANGELES--(BUSINESS WIRE)--The Law Offices of Frank R. Cruz announces that a class action lawsuit has been filed on behalf of investors who purchased Elevance Health, Inc. (“Elevance” or the “Company”) (NYSE: ELV) common stock between April 18, 2024, and October 16, 2024, inclusive (the “Class Period”). Elevance investors have until July 11, 2025 to file a lead plaintiff motion.

IF YOU SUFFERED A LOSS ON YOUR ELEVANCE HEALTH, INC. (ELV) INVESTMENTS, CLICK HERE TO SUBMIT A CLAIM TO POTENTIALLY RECOVER YOUR LOSSES IN THE ONGOING SECURITIES FRAUD LAWSUIT.

You can also contact the Law Offices of Frank R. Cruz to discuss your legal rights by email at [e-mail], by telephone at [phone], or visit our website at www.frankcruzlaw.com.

What Happened?

On July 17, 2024, Elevance disclosed that it was “expecting second-half utilization to increase in Medicaid” and that it was “seeing signs of increased utilization across the broader Medicaid population, including in outpatient home health, radiology, durable medical equipment, as well as some elective procedures.”

On this news, Elevance’s stock price fell $32.21, or 5.8%, to close at $520.93 per share on July 17, 2024, thereby injuring investors.

Then, on October 17, 2024, Elevance released its third quarter 2024 financial results, missing EPS consensus estimates by 13.7% “due to elevated medical costs in [its] Medicaid business.” Additionally, the Company lowered its EPS guidance for 2024 by 11.3%.

On this news, Elevance’s stock price fell $52.61, or 10.6%, to close at $444.35 per share on October 17, 2024, thereby injuring investors further.

What Is The Lawsuit About?

The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) sicker patients with higher acuity tended to remain on Medicaid after redetermination, leading to higher per-patient costs; (2) this increase in cost was occurring at a rate that was not adequately reflected in Elevance's rate negotiations with the states or in its financial guidance for 2024; and (3) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.

Contact Us To Participate or Learn More:

If you purchased Elevance common stock, wish to learn more about this action, or have any questions concerning this announcement or your rights or interests with respect to these matters, please click HERE or contact us at:

Law Offices of Frank R. Cruz
2121 Avenue of the Stars, Suite 800
Telephone: [phone]
Email: [e-mail]
Visit our website at: www.frankcruzlaw.com

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