NEW YORK, Oct. 30, 2025 (GLOBE NEWSWIRE) -- Pomerantz LLP announces that a class action lawsuit has been filed against Molina Healthcare, Inc. (“Molina” or the “Company”) (NYSE: MOH). Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, (or 888.4-POMLAW), toll-free, Ext. 7980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased.
The class action concerns whether Molina and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
You have until December 2, 2025, to ask the Court to appoint you as Lead Plaintiff for the class if you purchased or otherwise acquired Molina securities during the Class Period. A copy of the Complaint can be obtained at www.pomerantzlaw.com.
[Click here for information about joining the class action]
On July 7, 2025, Molina issued a press release announcing financial results for the second quarter of 2025 and slashing full year 2025 adjusted earnings per share guidance. The press release reported second quarter 2025 adjusted earnings of approximately $5.50 per share, which was “below . . . prior expectations” due to “medical cost pressures in all three lines of business.” The Company also announced that it “expects these medical cost pressures to continue into the second half of the year” and cut guidance for expected adjusted earnings per share 10.2% at the midpoint, from “at least $24.50 per share” to a “range of $21.50 to $22.50 per share.” The press release revealed Molina was experiencing a “short-term earnings pressure” from a “dislocation between premium rates and a medical cost trend which has recently accelerated.”
On this news, Molina’s stock price fell $6.97 per share, or 2.9%, to close at $232.61 per share on July 7, 2025.
Then, on July 23, 2025, Molina issued a press release reporting its financial results for the second quarter ended June 30, 2025 and further slashing the Company’s full-year 2025 earnings guidance. The press release revealed, in part, that the Company’s “GAAP net income was $4.75 per diluted share for the second quarter of 2025, a decrease of 8% year over year;” and it “now expects its full year 2025 adjusted earnings to be no less than $19.00 per diluted share.” This represented another 13.6% cut to guidance of earnings per share at the midpoint, from the cut to guidance announced less than two weeks earlier. Molina also cut its guidance for its full year 2025 GAAP net income 27% to $912 million. Molina attributed its results a full year outlook to a “challenging medical cost trend environment,” including mere “utilization of behavioral health, pharmacy, and inpatient and outpatient services.” The Company claimed that its guidance cut also reflected “new information gained in the quarterly closing process.”
On this news, Molina’s stock price fell $32.03 per share, or 16.84%, to close at $158.22 per share on July 24, 2025.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomlaw.com.
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CONTACT:
Danielle Peyton
Pomerantz LLP
dpeyton@pomlaw.com
646-581-9980 ext. 7980
