On April 17, 2024, Spruce Point Capital Management released a report about PowerSchool. Spruce Point conducted a forensic review of PowerSchool, stating “concerns over the Company’s aggressive accounting practices, unsustainable growth expectations, and sales of a product that may potentially be violating several states’ child privacy laws. We also believe the Board may be conflicted and as a result, may not be serving all shareholders equally.”
On this news, PowerSchool’s stock fell $1.94 per share, or 9.8%, to close at $17.79 per share on April 17, 2024.
