Law Offices of Frank R. Cruz Encourages SelectQuote, Inc. (SLQT) Investors To Inquire About Securities Fraud Class Action
IF YOU SUFFERED A LOSS ON YOUR SELECTQUOTE, INC. (SLQT) INVESTMENTS, CLICK HERE TO SUBMIT A CLAIM TO POTENTIALLY RECOVER YOUR LOSSES IN THE ONGOING SECURITIES FRAUD LAWSUIT.
You can also contact the Law Offices of Frank R. Cruz to discuss your legal rights by email at info@frankcruzlaw.com, by telephone at (310) 914-5007, or visit our website at www.frankcruzlaw.com.
What Happened?
On May 1, 2025, the U.S. Department of Justice ('DOJ') filed a False Claims Act complaint against SelectQuote, alleging, '[f]rom 2016 through at least 2021' SelectQuote received 'tens of millions of dollars' in 'illegal kickbacks' from health insurance companies in exchange for steering Medicare beneficiaries to enroll in the insurers' plans. Further, SelectQuote, in exchange for kickbacks, engaged in a conspiracy with major insurers to illegally discriminate against beneficiaries deemed to be less profitable, including those with disabilities. The DOJ concluded that SelectQuote made materially false claims by stating it offers 'unbiased coverage comparisons' when in fact it 'repeatedly directed Medicare beneficiaries to the plans offered by insurers that paid them the most money, regardless of the quality or suitability of the insurers' plans.'
On this news, SelectQuote's stock price fell $0.61, or 19.2%, to close at $2.56 per share on May 1, 2025, on unusually heavy trading volume.
What Is The Lawsuit About?
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that the Company was directing Medicare beneficiaries to the plans offered by insurers that best compensated SelectQuote, regardless of the quality or suitability of the insurers' plans; (2) that SelectQuote did not provided unbiased comparison shopping for Medicare Advantage insurance plans; (3) that SelectQuote received illegal kickbacks to steer Medicare beneficiaries to certain insurers and limit enrollment in competitors' plans; (4) that as a result, SelectQuote had not complied with applicable laws, regulations, and contractual provisions; (5) that SelectQuote was vulnerable to regulatory and legal sanctions as a result of its conduct, including claims that it had violated the False Claims Act; and (6) 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.
Contact Us To Participate or Learn More:
If you purchased SelectQuote securities, wish to learn more about this action, or have any questions concerning this announcement or your rights or interests with respect to these matters, please click HERE or contact us at:
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Globe and Mail
a minute ago
- Globe and Mail
Rigetti Computing Unveils New Quantum Computer Amid Losses
Rigetti Computing Inc. ( (RGTI)) has released its Q2 earnings. Here is a breakdown of the information Rigetti Computing Inc. presented to its investors. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Rigetti Computing Inc. is a leading company in the quantum computing sector, known for its pioneering work in full-stack quantum-classical computing and its development of scalable quantum processors. The company serves a global clientele through its Rigetti Quantum Cloud Services platform. In its recent earnings report for the second quarter of 2025, Rigetti Computing announced significant technological advancements alongside its financial results. The company unveiled the general availability of its 36-qubit multi-chip quantum computer, Cepheus-1-36Q, marking a milestone in its roadmap. Financially, Rigetti reported total revenues of $1.8 million for the quarter, with operating expenses reaching $20.4 million, leading to an operating loss of $19.9 million. The net loss was recorded at $39.7 million, influenced by non-cash losses related to derivative warrant and earn-out liabilities. Despite these losses, the company maintains a strong cash position with $571.6 million in cash, cash equivalents, and available-for-sale investments. On the technology front, Rigetti's Cepheus-1-36Q has achieved a significant reduction in two-qubit gate error rates and improved gate fidelity, positioning the company as a leader in scalable quantum computing. The company's proprietary chiplet-based architecture continues to drive advancements, with plans to release a 100+ qubit system by the end of the year. Looking forward, Rigetti remains confident in its technological trajectory and financial strategy, supported by a recent $350 million equity raise. The company aims to leverage its strong financial position to further its commercial scale-up and explore strategic collaborations and partnerships.
Globe and Mail
30 minutes ago
- Globe and Mail
B Riley Financial Posts Q2 Profit Jump
Key Points Adjusted net revenue (non-GAAP) reached $51.5 million in Q2 2025, with investment banking and institutional brokerage making up most of the total. The company posted GAAP net income of $12.5 million in Q2 2025 and ended the quarter with no debt with $94.5 million in cash and securities as of June 30, 2025. A one-time dividend of $0.22 per share was declared, but no recurring dividend program was established. These 10 stocks could mint the next wave of millionaires › B. Riley Financial (NASDAQ:RILY), a diversified financial services firm operating across investment banking, wealth management, and asset disposition, released its earnings for the period ended June 30, 2025, on Aug. 7, 2025. The highlight was a debt-free balance sheet, $94.5 million in cash and securities as of June 30, 2025, and GAAP net income of $12.5 million. Adjusted net revenue (non-GAAP) was $51.5 million. There were no published analyst estimates or prior-period comparables for this stand-alone quarter after the carve-out of its securities operations, leaving direct performance comparisons unavailable. Overall, the period reflected stabilization in core businesses and improvements in profitability, but the sustainability of gains remains to be seen. B. Riley Financial's Business and Focus Areas B. Riley Financial operates a mix of capital markets, wealth management, and asset disposition businesses. Its core unit, B. Riley Securities, handles investment banking (which includes services like underwriting new stock or debt offerings and advising on mergers), institutional brokerage (stock and bond trading for clients), and research. Other segments include wealth management, auctions and liquidations, principal investments in communications, and a brands licensing business. The company's most recent focus is on strengthening its capital markets and core advisory practices. It aims to grow its footprint in high-growth sectors, particularly by raising capital for technology clients and expanding expertise in renewables and health care. Key success factors include team expansion and a disciplined approach to returning capital, as evidenced by its dividend announcements. Quarter in Review: Performance, Drivers, and Events The quarter's results spotlight the impact of a recent business carve-out, with B. Riley Securities reporting as the principal operating business for the first time. Adjusted net revenue, which excludes gains related to legacy investment positions, reached $51.5 million in Q2 2025. While institutional brokerage commissions contributed $25.4 million. Capital markets activity improved sequentially, as management noted, 'client activity increased significantly during the quarter, driving sequential improvements in both Institutional Brokerage commissions and Investment Banking revenue.' The company put a spotlight on capital markets products, including convertibles (debt that can become equity), variable rate financings, and continued growth in flexible funding solutions. Over the past year, the company has helped clients raise over $8 billion to support AI-driven investments, reflecting both client demand and the firm's advisory strengths. Additionally, B. Riley Securities added seven senior executives across key industry sectors, such as technology, health care, and real estate, aiming to enhance client service and drive new business. Hosting its 25th annual investor conference strengthened engagement, with several hundred institutional investors and companies attending. The period saw no reporting detail on other B. Riley Financial units such as wealth management, auctions and liquidations, or the brands portfolio. Past quarters showed asset sales and joint ventures, such as a 44 % retained stake in Great American Group, following majority sales and decomposing non-core segments. The company further reduced its exposure to legacy investment positions, as reflected by adjustments in its reported profit. No major product launches or significant new business lines outside capital markets were highlighted in this quarter. From a balance sheet perspective, the company ended with no outstanding debt and $94.5 million in cash and securities as of June 30, 2025, supporting a strong liquidity position. It declared a one-time $0.22 per share dividend, totaling $4.1 million, approved in Q2 2025. Management explicitly stated this was not intended as a recurring program. Looking Ahead: Guidance and Investor Considerations B. Riley Financial's management did not provide any quantitative financial guidance for the next quarter or for fiscal 2025. Instead, management characterized the current phase as one of stabilization and cautious optimism, indicating that improvement 'has continued into Q3 2025.' They also cautioned that the quarter's performance should not be annualized or taken as a reliable indicator for future periods, citing the lumpy nature of capital markets revenue and the effect of non-recurring gains. Investors will want to watch for greater reporting detail in future quarters as the operations of B. Riley Securities and legacy businesses mature post-carve-out. Key factors include sustained deal flow across capital markets, effectiveness of new personnel hires, the recurrence or decline of non-GAAP investment gains, and the approach to future capital returns. The shifting segment structure and changing client activity patterns will remain important variables for tracking the company's trajectory. The quarterly dividend was declared as a one-time event and does not reflect an ongoing policy. Revenue and net income presented using U.S. generally accepted accounting principles (GAAP) unless otherwise noted. Where to invest $1,000 right now When our analyst team has a stock tip, it can pay to listen. After all, Stock Advisor's total average return is 1,069%* — a market-crushing outperformance compared to 184% for the S&P 500. They just revealed what they believe are the 10 best stocks for investors to buy right now, available when you join Stock Advisor. See the stocks » *Stock Advisor returns as of August 13, 2025
Globe and Mail
an hour ago
- Globe and Mail
PRIMECAP Management Co Reduces Stake in Broadcom Inc.
Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. PRIMECAP Management Co, managed by Theofanis Kolokotrones, recently executed a significant transaction involving Broadcom Inc. ((AVGO)). The hedge fund reduced its position by 119,722 shares. Spark's Take on AVGO Stock According to Spark, TipRanks' AI Analyst, AVGO is a Outperform. Broadcom's strong financial performance, especially in AI-driven revenue growth, and optimistic earnings outlook are significant positives. However, technical overbought signals, high valuation, and debt levels temper the overall score. The company's proactive financial strategies and solid profitability support a positive long-term view. To see Spark's full report on AVGO stock, click here. More about Broadcom Inc. YTD Price Performance: 31.79% Average Trading Volume: 20,712,671 Current Market Cap: $1429.4B Disclaimer & Disclosure Report an Issue
