Rocket Pharmaceuticals, Inc. (RCKT) Faces Securities Class Action Amid Protocol Change and FDA's Clinical Hold on Gene Therapy Trial
SAN FRANCISCO, June 27, 2025 (GLOBE NEWSWIRE) -- A securities class action lawsuit styled Ho v. Rocket Pharmaceuticals, Inc., et al., No. 3:25-cv-10049 (D. N.J.) has been filed and seeks to represent investors who purchased or otherwise acquired Rocket Pharmaceuticals securities between February 27, 2025 and May 26, 2025.
The lawsuit comes after investors saw the price of their shares in Rocket Pharmaceuticals, Inc. (NASDAQ: RCKT) crash over 60% on May 27, 2025 as a result of the company's announcement that the FDA put a clinical hold on its Phase 2 pivotal trial for RP-A501, an experimental therapy intended to treat patients with a rare gene disorder called Danon disease.
Hagens Berman urges Rocket Pharmaceuticals investors who suffered substantial losses to submit your losses now. The firm also encourages persons with knowledge who may be able to assist in the investigation to contact its attorneys.
Class Period: Feb. 27, 2025 – May 26, 2025
Lead Plaintiff Deadline: Aug. 11, 2025
Visit: www.hbsslaw.com/investor-fraud/rckt
Contact the Firm Now: [email protected]
844-916-0895
The Rocket Pharmaceuticals, Inc. (RCKT) Securities Class Action:
The litigation focuses on the propriety of Rocket Pharmaceutical's disclosures about the trial protocol being implemented in the RP-A501 Phase 2 trial.
More specifically, the complaint alleges that Rocket Pharmaceuticals made materially false and misleading statements while failing to disclose to investors: (1) the true state of RP-A501's safety and clinical trial protocol; (2) that the company knew Serious Adverse Events ('SAEs'), including patient's deaths, were at risk; and (3) that the company amended the trials protocol to introduce a novel immunomodulatory agent to the pretreatment regimen.
Investors learned the truth on May 27, 2025, when the company revealed that the FDA put a clinical hold on its Phase 2 study after a patient suffered a SAE and ultimately died. During the May 27, 2025 update call, in response to analysts' questions, management revealed that the company amended the trial protocol 'several months ago[.]' The analysts were seemingly unaware of the company's amendments before this update call.
This news drove the price of Rocket Pharmaceutical's shares crashing $3.94 (-62%) the same day.
'We're investigating claims that Rocket Pharmaceuticals may have misled investors about its Phase 2 protocol and whether it secretly amended it without first notifying the FDA and investors,' said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in Rocket Pharmaceuticals and have substantial losses, or have knowledge that may assist the firm's investigation, submit your losses now »
If you'd like more information and answers to frequently asked questions about the Rocket Pharmaceuticals case and our investigation, read more»
Whistleblowers: Persons with non-public information regarding Rocket Pharmaceuticals should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman's team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Contact:
Reed Kathrein, 844-916-0895
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Bloomberg
9 minutes ago
- Bloomberg
GOP Reaches Tentative SALT Deal at $40K Cap
"Balance of Power: Late Edition" focuses on the intersection of politics and global business. On today's show, Representative Mike Lawler (R) NY shares his thoughts on tentatively reaching a deal on SALT with his Republican colleagues in the Senate. Elizabeth Wydra, President of the Constitutional Accountability Center, & Rep. Sam Liccardo discuss the US Supreme Court's rulings and the impact of these rulings. PWC National Tax Office Co-Leader Rohit Kumar talks about what to expect from the US Senate as the self-imposted Tax Bill deadline is July 4th. (Source: Bloomberg)
Yahoo
13 minutes ago
- Yahoo
Anthony Edwards Has 2-Word Message on Timberwolves Ownership News
Anthony Edwards Has 2-Word Message on Timberwolves Ownership News originally appeared on Athlon Sports. One of the NBA's most promising young stars, Anthony Edwards could have been at a crossroads with the Minnesota Timberwolves. Advertisement A four-year saga involving the sale of the team put many questions into the heads of fans. Rumors of the team leaving Minnesota for warmer weather have often cropped up -- and Glen Taylor had served as the last bastion in preventing that over the years. However, after Taylor agreed to a $1.5 billion transfer of ownership of the team to Alex Rodriguez and Mark Lore in 2021, the Wolves became Western Conference contenders with Edwards at the heart of the franchise. An ugly legal battle described as "bitter" and "emotional" played out over the terms of the transfer, conjuring more concerns about the future of the franchise and alienating Edwards with its dysfunction. Advertisement However, the NBA's Board of Governors officially authorized the sale of the team this week, prompting the Timberwolves to begin getting Rodriguez and Mark Lore front and center on the team's social media. Edwards reacted to the news with a two-word message that spoke volumes to his thoughts on the Wolves franchise. Minnesota Timberwolves guard Anthony Edwards.© Bruce Kluckhohn-Imagn Images Sharing a photo of the new owners on his Instagram story, Edwards replied with the caption: "Congrats Sac (an acronym meaning 'Solid as Concrete')." Edwards' approval of the new ownership bodes well for his prospects in Minnesota so long as the Timberwolves remain competitive. Lore and Rodriguez had a sit-down with broadcaster Michael Grady outlining their goals for the franchise. Advertisement While they listed many items they want to address, the plan Lore wanted fans to hear the loudest? "We are not moving the team, ever. We are never moving the team," he reiterated. They also discussed returning to the Western Conference Finals and becoming a respected and admired organization in the world by building a better franchise that mirrors what fans want. Lore and Rodriguez were behind hiring former Denver Nuggets president of basketball operations Tim Connelly, who has facilitated several trades that have pushed the Wolves into the center of the Western Conference playoffs. Related: Timberwolves Get Major Joan Beringer News After NBA Draft Related: Rudy Gobert Reacts to Timberwolves Drafting His Potential Replacement This story was originally reported by Athlon Sports on Jun 26, 2025, where it first appeared.
Yahoo
14 minutes ago
- Yahoo
Netflix Stock (NFLX) Maintains Bullish Tempo Despite Nosebleed Valuation
Netflix (NFLX) stock has been trading above the 50-week moving average in price for about a year and a half, but that can't deter the market. Investors recognize that this is one of the most durable stocks, driven by an addictive flywheel of growth in recurring revenue. As TipRanks data shows, NFLX has consistently grown paid memberships since 2020—a remarkable feat, considering the global competition it faces. Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter This is a company that has evolved from a DVD rental disruptor into a global streaming leader, now backed by financials driven by ad-tier growth, an AI-powered studio, and a powerful live content strategy. The only element that's not to love is the valuation, but sometimes the best investments thrive despite that predicament, so I'm staying bullish on NFLX stock. Netflix has established itself as a truly global enterprise, now available in over 190 countries. It continues to demonstrate strong user engagement, holding a 7.5% share of U.S. television viewership. Its pricing strength is evident in its average revenue per user of $17.20 per month in North America and Canada. While the company faces competitive pressures from short-form video platforms such as TikTok and YouTube, as well as saturation in mature markets, these challenges are consistent with the realities of being a market leader. In any thriving sector, competitors will inevitably seek to gain ground, but well-established organizations like Netflix have consistently demonstrated resilience and adaptability in maintaining their leadership positions. Netflix's growth performance remains impressive. For example, its forward diluted earnings per share are projected to grow by 37%, significantly outpacing the sector average of 10%. Although this is reflected in its forward non-GAAP price-to-earnings ratio of 49—versus 13 for the sector—this valuation appears proportionate when considering the company's earnings growth rate, which is 3.7 times higher than the sector's, effectively aligning with its relative valuation multiple. Financially, Netflix is on solid footing. The company has reduced its net debt to approximately $7.9 billion, highlighting the success of its self-sustaining content investment strategy. With expected free cash flow of around $8 billion in fiscal year 2025, management has been able to allocate substantial resources to shareholder returns, including $3.5 billion in share repurchases as of Q1. These achievements are underpinned by a global subscriber base approaching 300 million. Recent growth initiatives, including password-sharing controls and the introduction of an ad-supported tier, have contributed meaningfully to this momentum. Netflix's ad-supported tier has experienced rapid uptake, now reaching approximately 94 million users. Ad revenue is projected to double in fiscal year 2025, reflecting the success of this segment. To further optimize monetization and support shareholder returns, Netflix has developed a proprietary ad-tech platform designed to improve targeting and increase revenue per user. These developments are part of a broader, well-integrated ecosystem that enables both revenue growth and margin expansion. In essence, Netflix has developed a business model that generates long-term value, thereby reinforcing its attractiveness as an investment opportunity. Under a base-case scenario, Netflix could generate approximately $28 in trailing twelve-month normalized earnings per share by mid-2026. Assuming a modest contraction in its non-GAAP price-to-earnings ratio to 50 (down from the current 59, in line with expected growth normalization), this would imply a stock price of roughly $1,400 in a year. Given today's price of $1,280, that equates to nearly a 10% upside potential. While this return is respectable, it may not meet the threshold for more aggressive investors seeking 20–30% annualized gains. The company's strong fundamentals and strategic vision explain why its stock has outperformed the S&P 500 (SPX) so far this year. Operationally, Netflix continues to demonstrate forward-thinking leadership. The company is investing in AI to enhance its content development capabilities, with a focus on producing high-margin, lower-budget titles. This includes an emphasis on quality storytelling—such as international productions with subtitles—over costly star-driven projects. In many respects, Netflix embodies the spirit of a lean, innovative startup that has successfully scaled while maintaining its core identity. That consistency is commendable. On Wall Street, Netflix has a consensus Strong Buy rating based on 29 Buys, nine Holds, and zero Sells. However, the average NFLX stock price target is $1,255.76, indicating a 1.5% downside over the next 12 months. Current analyst consensus reinforces my earlier point regarding the stock's premium valuation. However, I believe Netflix still has considerable momentum and over the long term, any significant decline in the stock is unlikely to occur without an external catalyst. Fundamentally, Netflix remains on a solid trajectory. Clearly, this isn't a stock to aggressively accumulate at current levels. It may be prudent to wait for a more attractive valuation. That said, I remain bullish on Netflix's long-term prospects. The company is led by a competent management team and benefits from a strong competitive moat built around a financially disciplined and strategically integrated digital entertainment ecosystem. Like all equities, Netflix will inevitably face periods of pullback, and when that happens, I'm prepared to step in to add to my position at more favorable prices. Disclaimer & DisclosureReport an Issue Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
