Bronstein, Goertz & Grossman LLC

Bronstein, Goertz & Grossman LLC

NEW YORK, Feb. 07, 2024 (GLOBE NEWSWIRE) — Lawyer Announcement – Bronstein, Gewirtz & Grossman, LLC, a nationally recognized law firm, notifies investors that a class action lawsuit has been filed against iRhythm Technologies, Inc. “iRhythm” or the “Company”) (NASDAQ: IRTC) and certain of its officers.

Category definition:

This lawsuit seeks damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or acquired iRhythm securities between January 11, 2022 and May 30, 2023, inclusive (the “Class Period”). These investors are encouraged to join this case by visiting the company’s website: bgandg.com/IRTC.

Case details:

Throughout the class period, iRhythm represented to investors that the Zio AT monitor was a real-time monitoring monitor intended for its target audience of high-risk patients. The company’s legacy monitor and flagship product, the Zio XT, is a heart monitor intended for non-critically ill patients, as it does not provide real-time reporting. The company touted the potential growth of Zio AT as an innovative product just beginning to penetrate the market for real-time monitoring, which investors viewed favorably given the premium selling price associated with devices approved for high-risk patients. As a result of these representations, the price of iRhythm common stock traded at artificially inflated prices throughout the Class Period.

On May 30, 2023, after the market closed, iRhythm disclosed receipt of a warning letter from the FDA detailing several serious issues with the Zio AT device (“Warning Letter”). Among other things, the warning letter criticized iRhythm’s marketing of the Zio AT as a “portable telemetry cardiac monitor” that provides “near real-time monitoring” and is approved for use in “high-risk patients” as false. In fact, the Zio AT was only approved for non-critically ill patients and had serious drawbacks that put high-risk patients at risk.

For example, iRhythm imposed an arbitrary transmission limit on the number of times the Zio AT could send data and failed to communicate this to service providers and end users. Importantly, once the transmission limit is reached, patient data stops being transmitted, the device can no longer be used for its intended purpose and cannot be relied upon by high-risk patients, iRhythm said. The warning letter also outlined other serious issues with the Zio AT that iRhythm had known about since at least 2017 but had failed to disclose to the FDA, patients, or investors.

These disclosures caused the price of iRhythm’s common stock to decline by $7.41 per share, or 6.1%. Therefore, as a result of iRhythm’s actions and the sharp decline in the market value of the Company’s common stock, investors suffered significant losses and damages.

What then?

A class action lawsuit has already been filed. If you would like to review a copy of the complaint, you may visit the firm’s website: bgandg.com/IRTC or you may contact Peretz Bronstein, Esq. Or our law clerk and client relations manager, Yael Nathanson of Bronstein, Gewirtz & Grossman, LLC at 332-239-2660. If you suffer a loss in iRhythm, you have until April 8, 2024 to ask the court to appoint you as lead plaintiff. Your ability to participate in any recovery does not require that you serve as lead plaintiff.

There is no cost to you

We represent investors in class actions on a contingency fee basis. This means that we will ask the court to reimburse us for out-of-pocket expenses and attorney fees, usually a percentage of the total recovery, only if we are successful.

Why Bronstein, Goertz and Grossman:

Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud and shareholder derivative litigation. Our firm has recovered hundreds of millions of dollars for investors nationwide.

Lawyer advertisement. Previous results do not guarantee similar results.

communication:

Bronstein, Goertz & Grossman, LLC

Peretz Bronstein or Yael Nathanson

332-239-2660 | info@bgandg.com

    (Tags for translation)Bronstein

You may also like...

Leave a Reply