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ModivCare, Inc. (MODV) Investors Who Lost Money – Contact Law Offices of Howard G. Smith About Securities Fraud Investigation

Published 2 days ago via Business Wire

Law Offices of Howard G. Smith announces an investigation on behalf of ModivCare, Inc. (“ModivCare” or the “Company”) (NASDAQ: MODV) investors concerning the Company’s possible violations of federal securities laws.

IF YOU ARE AN INVESTOR WHO SUFFERED A LOSS IN MODIVCARE, INC. (MODV), CONTACT THE LAW OFFICES OF HOWARD G. SMITH ABOUT POTENTIALLY PURSUING CLAIMS TO RECOVER YOUR LOSS.

Contact the Law Offices of Howard G. Smith to discuss your legal rights by email at howardsmith@howardsmithlaw.com, by telephone at (215) 638-4847 or visit our website at www.howardsmithlaw.com.

What Happened?

On May 4, 2023, ModivCare released its first quarter 2023 financial results, revealing that it had experienced a reduction of cash flow from operations. On this news, ModivCare’s stock price fell $11.30, or 16.3%, to close at $58.00 per share on May 4, 2023, thereby injuring investors.

Then, on August 3, 2023, after market hours, ModivCare released its second quarter 2023 financial report, disclosing that the Company had experienced the expansion of a “large payable balance” that had impacted its cash flow from operations during the quarter. On this news, ModivCare’s stock price fell $2.86, or 7.5%, to close at $35.38 per share on August 4, 2023.

Then, on February 23, 2024, ModivCare released its fourth quarter 2023 financial results, revealing that the Company suffered negative cash flow during the quarter, and that the trend was expected to continue for the first half of fiscal year 2024. On this news, ModivCare’s stock price fell $17.25, or 39.3%, to close at $26.62 per share on February 23, 2024.

Then, on September 12, 2024, ModivCare disclosed that it would “undertak[e] actions to seek additional capital, including filing a shelf registration statement” with the SEC to improve its liquidity. On this news, ModivCare’s stock price fell $18.43, or 59.1%, to close at $12.76 per share on September 12, 2024.

Then, on September 16, 2024, ModivCare provided a financial update, revising its 2024 Adjusted EBITDA guidance range from $185–$195 million to $170–$180 million, “primarily due to NEMT segment pricing accommodations made to strategically retain and expand key customer relationships.” On this news, ModivCare’s stock price fell $1.40, or 9.9%, to close at $12.72 per share on September 16, 2024, thereby injuring investors further.

Contact Us To Participate or Learn More:

If you purchased ModivCare securities, 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 us:

Law Offices of Howard G. Smith

3070 Bristol Pike, Suite 112

Bensalem, Pennsylvania 19020

Telephone: (215) 638-4847

Email: howardsmith@howardsmithlaw.com

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.

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