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Ontrak, Inc. in Turmoil: Class Action Lawsuit and Shareholder Claims Pose Threat to Financial Stability
Company Announcements

Ontrak, Inc. in Turmoil: Class Action Lawsuit and Shareholder Claims Pose Threat to Financial Stability

Ontrak, Inc. (OTRK) has disclosed a new risk, in the Litigation & Legal Liabilities category.

Ontrak, Inc. is currently grappling with legal challenges that underscore significant business risks. The company faces a class action lawsuit alleging violations of federal securities laws, which questions the veracity of its past statements about customer base growth. Additionally, a major shareholder has flagged potential claims related to corporate governance and use of certain funds. These legal disputes, merited or not, threaten to impose substantial financial burdens, distract management, and could materially impact Ontrak’s operations and financial health.

Overall, Wall Street has a Moderate Buy consensus rating on OTRK stock based on 1 Buy.

To learn more about Ontrak, Inc.’s risk factors, click here.

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