BOSTON, MA / ACCESSWIRE / July 24, 2020 / A shareholder class action lawsuit has been filed on behalf of shareholders of Insperity, Inc. (NYSE:NSP). Investors who purchased NSP securities between February 11, 2019, and February 11, 2020 that are interested in learning about the case or being a lead plaintiff are encouraged to visit https://www.tenlaw.com/cases/NSP. Investors may also contact Thornton Law Firm at [email protected], or call 617-531-3917.
FOR MORE INFORMATION, VISIT: https://www.tenlaw.com/cases/NSP
According to the Complaint, Insperity provides human resource services and employee benefits to business customers, including group health insurance plans. It is alleged that a majority of these plans are provided by UnitedHealthcare Insurance Company and that Insperity is liable for plan costs (primarily medical claims from its customers' employees) that exceed the fixed premiums paid and owed to UnitedHealthcare.
The Complaint alleges that on February 11, 2019, Insperity reported its fourth quarter and full-year 2018 financial results, which were up significantly year-over-year. Similarly, it is alleged that on April 29, 2019, Insperity reported "record" first-quarter results and raised its full-year 2019 guidance. The Complaint alleges that Insperity was poised to deliver a record year of growth as a result of the Company's successful business model. As a result, it is alleged that Insperity's stock price dramatically increased during the first half of 2019.
Specifically, the Complaint alleges that unbeknownst to the market at this time, the Defendants' statements were materially false and misleading and failed to disclose, and would continue to omit, that: a) the Company had failed to negotiate appropriate rates with its customers for employee benefit plans and did not adequately disclose the risk of large medical claims from these plans; b) Insperity was, and would continue to, experience a materially adverse trend of large medical claims; c) as a mitigating measure, the Company would be forced to increase the cost of its employee benefit plans, causing stunted customer growth and reduced customer retention; and d) the foregoing issues were reasonably likely to, and would, materially impact Insperity's financial results.
Investors who suffered a loss in Insperity that are interested to learn more about the lead plaintiff process are encouraged to contact the Thornton Law Firm's shareholder rights team at http://www.tenlaw.com/cases/NSP, by email at [email protected], or calling 617-531-3917. The lawsuit alleges violations of the federal securities laws, and the class has not yet been certified. Until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member. There is no minimum number of shares required to be a class member, and shareholders do not need to be lead plaintiff to recover as a class member. The lead plaintiff serves as a representative of all investors in the lawsuit.
FOR MORE INFORMATION: https://www.tenlaw.com/cases/NSP
Thornton Law Firm's securities attorneys are highly experienced in representing investors in recovering damages caused by violations of the securities laws. Its attorneys have established track records litigating securities cases in courts throughout the country and recovering losses on behalf of shareholders. This may be considered Attorney Advertising in some jurisdictions. Prior results do not guarantee or predict a similar outcome with respect to any future matter.
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SOURCE: Thornton Law Firm LLP