SAN
FRANCISCO, Nov. 20, 2024 /PRNewswire/ -- Schubert
Jonckheer & Kolbe LLP advises Xponential Fitness, Inc.
investors that the firm is investigating potential legal claims
relating to significant insider trading and possible false
statements about franchisee performance and revenue growth. Current
shareholders are encouraged to contact the firm.
Xponential is one of the largest global franchisors of boutique
fitness brands. At relevant times, the company touted its business
prospects based on the strength of its franchisees' revenue growth.
A short-seller analyst report later exposed these statements as
inaccurate because Xponential concealed that over 50% of its
studios did not earn a positive financial return, nearly all of its
brands were losing money monthly, it had permanently closed down at
least thirty locations, many of its franchises were listed for sale
at a fraction of their purchase prices, and by misstating key
performance metrics. During this period, company insiders sold more
than $275 million in Xponential
stock. Additionally, the U.S. Securities and Exchange Commission,
U.S. Attorney's Office, and U.S. Federal Trade Commission have all
opened investigations into Xponential. In May 2024, the company suspended its CEO
Anthony Geisler indefinitely, who
then resigned three days later. These disclosures resulted in
substantial stock price declines.
Based on these facts, the company has also been sued in a
securities fraud class
action. The Schubert Firm is investigating potential
wrongdoing by Xponential's directors and officers in connection
with these allegations.
If you own stock in Xponential and want additional
information about your legal rights, please visit our website
at
https://www.classactionlawyers.com/xponentialupdate.
About Schubert Jonckheer & Kolbe LLP
Schubert Jonckheer & Kolbe represents shareholders,
employees, and consumers in class actions against corporate
defendants, as well as shareholders in derivative actions against
their officers and directors. The firm is based in San Francisco, and with the help of
co-counsel, litigates cases nationwide.
Contact
Dustin L. Schubert
Schubert Jonckheer & Kolbe LLP
dschubert@schubertlawfirm.com
Tel: 415-788-4220
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SOURCE Schubert Jonckheer & Kolbe LLP