On December 7, 2022, Jehoshaphat Research published a short report addressing Progyny, entitled “A Love Child of Accounting Games & Credit Risk” (the “Jehoshaphat Report”). The Jehoshaphat Report alleges that Progyny “is deceiving the investor community via its financial reporting practices” and that Progyny “is actually unprofitable but masks this problem with accounting games.” Among other items, the report alleges that Progyny “apparently decided to recently stop accruing allowances for customer cancellations, which . . . may have added up to another ~400bps to both revenues and gross profit margins” and that “credit losses” reported by Progyny “are more like reversals of inflated revenues,” citing the Company’s “corporate customer base of high quality.” On this news, Progyny’s stock price fell sharply during intraday trading on December 7, 2022.
Rosen Law Firm, a global investor rights law firm, announces an investigation of potential securities claims on behalf of shareholders of Progyny, Inc. (NASDAQ: PGNY) resulting from allegations that Progyny may have issued materially misleading business information to the investing public.
If you purchased Progyny securities and would like to join the prospective action, please click “Join This Class Action.”
Details of investigation:
Why Rosen Law
The Rosen Law Firm has been ranked among the top 4 law firms each year since 2013 for the number of successful securities class actions on behalf of investors. In 2019 alone, our firm recovered $438 million for investors.
Investors should carefully identify and select experienced counsel with a track record of success leading securities class actions. Often other firms issue press releases about class actions yet do not have comparable experience or resources.
Institutional Shareholders Services ranked the Rosen Law Firm # 1 for the number of securities class action recoveries in 2017.
The Rosen Law Firm represents investors throughout the globe. Our mission is to prosecute securities fraud class actions and protect shareholders’ rights.