Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In StubHub To Contact Him Directly To Discuss Their Options
If you purchased or otherwise acquired stock of StubHub pursuant and/or traceable to StubHub’s registration statement for the initial public offering held on or about September 17, 2025 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against StubHub Holdings, Inc. (“StubHub” or the “Company”) (NYSE: STUB) and reminds investors of the January 23, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.
The complaint filed in this class action alleges that Registration Statement was materially false and/or misleading, and failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) the Company was experiencing changes in the timing of payments to vendors; (2) those changes had a significant adverse impact on free cash flow, including trailing 12 months (“TTM”) free cash flow; (3) as a result, the Company’s free cash flow reports were materially misleading; and (4) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects, were materially misleading and/or lacked a reasonable basis. On September 17, 2025, StubHub conducted its IPO, selling approximately 34 million shares of Class A common stock at $23.50 per share.
On November 13, 2025, after the market closed, StubHub issued a press release announcing financial results for the third quarter 2025, which ended September 30, 2025. The press release revealed free cash flow of negative $4.6 million in the quarter, a 143% decrease from the Company’s free cash flow in the year ago period, which was positive $10.6 million. The press release further revealed the Company’s net cash provided by operating activities was only $3.8 million, a 69.3% decrease from the year ago period, where the Company reported $12.4 million in net cash provided by operating activities.
On the same date, the Company filed its Form 10-Q for the same quarterly period ended September 30, 2025, with the SEC. The quarterly report revealed that this year-over-year decrease “primarily reflects changes in the timing of payments to vendors.”
On this news, StubHub’s stock price fell $3.95 per share, or 20.9%, to close at $14.87 per share on November 14, 2025, on unusually heavy trading volume.
By the commencement of this action, the Company’s stock was trading as low as $10.31 per share, a nearly 56% decline from the $23.50 per share IPO price.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding StubHub’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
To learn more about the StubHub Holdings, Inc. class action, go to www.faruqilaw.com/STUB or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
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The complaint filed in this class action alleges that Registration Statement was materially false and/or misleading
Contacts
Faruqi & Faruqi, LLP
Josh Wilson
877-247-4292 or 212-983-9330 (Ext. 1310)
