A securities class action has been filed in the USDC – E.D.VA. against Stride, Inc. (LRN) (“Stride” or the “Company”), on behalf of all persons and entities that purchased or otherwise acquired Stride securities between October 22, 2024, and November 11, 2025, both dates inclusive (the “Class Period”).
Stride is a Reston, Virginia-based technology company that provides an educational platform to deliver online learning to students throughout the U.S. The Company’s platform hosts products and services to enroll. The Company’s clients are primarily public and private schools, school districts, and charter boards. Additionally, it provides solutions to employers, government agencies, and consumers. These products and services are provided through two lines of revenue: General Education and Career Learning.
The Complaint alleges that, during the Class Period, Defendants made misleading statements and omissions regarding the Company’s products and services to public and private schools, school districts, and charter boards. Throughout the Class Period, Stride represented to investors that “[t]hese products and services, spanning curriculum, systems, instruction, and support services are designed to help learners of all ages reach their full potential through inspired teaching and personalized learning.” Unbeknownst to investors Stride was:
(1) inflating enrollment numbers by retaining “ghost students”;
(2) cutting staffing costs by assigning teachers’ caseloads far beyond the required statutory limits;
(3) ignoring compliance requirements, including background checks and licensure laws for its employees, and ignoring federally mandated special education services to students;
(4) suppressing whistleblowers who documented financial directives from Stride’s leadership to delay hiring and deny services to preserve profit margins; and
(5) losing existing and potential enrollments.
Stride’s stock dropped $83.48 per share, or more than 54%, to close at $70.05 per share on October 29, 2025.
If you purchased Stride securities during the Class Period and would like to receive more information or join the action, please enter your contact information below for a FREE consultation and click “Submit Your Information”.