PHILADELPHIA, April 23, 2024 (GLOBE NEWSWIRE) -- Berger Montague advises investors that a securities fraud class action lawsuit has been filed against Sharecare, Inc. (“Sharecare” or the “Company”) (NASDAQ: SHCR) on behalf of purchasers of Sharecare securities between May 10, 2023 and March 28, 2024, inclusive (the “Class Period”).

Investor Deadline: Investors who purchased or acquired Sharecare securities during the Class Period may, no later than June 18, 2024, seek to be appointed as a lead plaintiff representative of the class. For additional information or to learn how to participate in this litigation, please contact Berger Montague: James Maro at [email protected] or (267) 637-3176, or Andrew Abramowitz at [email protected] or (215) 875-3015, or CLICK HERE.

Sharecare, headquartered in Atlanta, operates as a digital healthcare platform company. Its Sharecare platform connects people, patients, providers, employers, health plans, government organizations, and communities that optimize individual and population-wide well-being. 

According to the complaint, throughout the Class Period, the defendants made materially false and/or misleading statements and/or failed to disclose that: (1) Sharecare lacked adequate internal controls and; (2) as a result, the defendants’ statements about the Company’s business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis at all times.

The truth was disclosed on March 29, 2024, when Sharecare filed with the SEC its annual report on a Form 10-K for the 2023 fiscal year. In this annual report, Sharecare disclosed that it had identified a material weakness in its internal control over financial reporting, and that “[a]s of December 31, 2023, the Company did not maintain adequate internal controls with respect to its revenue recognition evaluation resulting from a change in services provided to a customer, due to untimely communication between cross-functional teams.”

On this news, the price of Sharecare stock declined by $0.21 per share, or 28.28%, to close at $0.55 on April 1, 2024.

Learn More About the Lawsuit

A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. The lead plaintiff is usually the investor or small group of investors who have the largest financial interest and who are also adequate and typical of the proposed class of investors. The lead plaintiff selects counsel to represent the lead plaintiff and the class and these attorneys, if approved by the court, are lead or class counsel. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Communicating with any counsel is not necessary to participate or share in any recovery achieved in this case. Any member of the purported class may move the Court to serve as a lead plaintiff through counsel of his/her choice, or may choose to do nothing and remain an inactive class member.

Berger Montague, with offices in Philadelphia, Minneapolis, Delaware, Washington, D.C., San Diego, San Francisco and Chicago, has been a pioneer in securities class action litigation since its founding in 1970. Berger Montague has represented individual and institutional investors for over five decades and serves as lead counsel in courts throughout the United States.

Contacts:

James Maro, Senior Counsel
Berger Montague
(267) 637-3176
[email protected]

Andrew Abramowitz, Senior Counsel
Berger Montague
(215) 875-3015
[email protected]