Lawsuit Filed Against Stride, Inc. (LRN) After Shares Plummet Over 51%

Investors Urged to Contact Award-Winning Firm, Gibbs Mura

OAKLAND, Calif.--(BUSINESS WIRE)--Gibbs Mura announces that a class action lawsuit has been filed against Stride, Inc. (“Stride”) on behalf of investors who purchased or acquired Stride securities between October 22, 2024 and October 28, 2025. Shares of Stride, Inc. plummeted over 51% in intraday trading on October 29, 2025, after the company reported a weak 2026 financial forecast, citing platform upgrades that resulted in a “poor customer experience” and a large decrease in enrollment numbers. Gibbs Mura encourages investors to contact us about their legal rights and options in the Stride, Inc. (NYSE: LRN) Securities Class Action Lawsuit.

IF YOU INVESTED IN LRN, VISIT OUR STRIDE, INC. LAWSUIT WEBPAGE OR CALL US AT [phone] TO GET MORE INFORMATION ABOUT HOW YOU MAY BE ABLE TO RECOVER YOUR LOSSES.

What is the Stride, Inc. Lawsuit About?

On September 10, 2025, Gallup-McKinley County Schools Board of Education announced that it filed a complaint against Stride, accusing the company of “fraud, deceptive trade practices, systemic violations of law, and intentional and tortious misconduct,” among other deceptive practices. News articles detail specific allegations against Stride, including that the company exaggerated student attendance counts to drive up revenue, neglected special education students, and violated state law on student-teacher ratios.

Then, after the market closed on October 28, 2025, Stride reported a financial outlook for the fiscal year 2026 that failed to meet analysts’ expectations. During the company’s earnings call, Stride’s CEO claimed that the “muted” financial outlook is in part due to the implementation of technology upgrades, which “did not go as smoothly as we anticipated,” and led to negative feedback from customers. This “poor customer experience” resulted in higher withdrawal rates and lower conversion rates than the company previously expected.

Following this news, shares of Stride, Inc. plummeted over 51% in intraday trading on October 29, 2025, causing further harm to investors.

Then, on November 11, 2025, a class action lawsuit was filed against Stride, Inc., alleging that the company made claims that were materially false and misleading, ultimately causing harm to investors. According to the complaint, Stride represented to investors that it was “one of the nation’s most successful technology-based education companies,” while allegedly inflating enrollment numbers, overextending teacher caseloads, ignoring compliance requirements, and suppressing whistleblower claims.

About Gibbs Mura, A Law Group

Gibbs Mura represents investors nationwide in securities litigation and cases involving financial fraud. The firm has recovered over a billion dollars for its clients against some of the world’s largest corporations, and our attorneys have received numerous honors for their work, including “Best Lawyers in America,” “Top Plaintiff Lawyers in California,” “California Lawyer Attorney of the Year,” “Class Action Practice Group of the Year,” “Consumer Protection MVP,” and “Top Women Lawyers in California.”

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