LDI Investors Have Opportunity to Lead loanDepot, Inc. Securities Lawsuit

Rhea-AI Summary

On October 28, 2021, the Law Offices of Howard G. Smith announced a class action lawsuit against loanDepot (NYSE: LDI) for investors who experienced significant losses after its February 2021 IPO. The lawsuit claims that loanDepot failed to disclose severe declines in refinance originations and gain-on-sale margins prior to the IPO, which misled investors about the company's financial health and future prospects. Investors must act by the lead plaintiff deadline of November 8, 2021, to recover their losses.

Positive

• Opportunity for investors to recover losses through the class action.

Negative

• LoanDepot's refinance originations and gain-on-sale margins significantly declined prior to the IPO.
• Misleading statements regarding the company's business and financial health.

BENSALEM, Pa., Oct. 28, 2021 /PRNewswire/ -- Law Offices of Howard G. Smith announces that investors with substantial losses have opportunity to lead the securities fraud class action lawsuit against loanDepot, Inc. (NYSE: LDI). The action seeks a recovery for investors that purchased loanDepot, Inc. shares following the Company's February 2021 IPO.

Lead Plaintiff Deadline: November 8, 2021

Investors suffering losses on their loanDepot investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to howardsmith@howardsmithlaw.com.

The complaint filed in the action alleges that, the defendants failed to disclose to investors that: (1) loanDepot's refinance originations had already declined substantially at the time of the IPO due to industry over-capacity and increased competition; (2) loanDepot's gain-on-sale margins had already declined substantially at the time of the IPO; (3) as a result, loanDepot's revenue and growth would be negatively impacted; and (4) as a result, the defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.

To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at www.howardsmithlaw.com.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

Contacts 
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
888-638-4847
howardsmith@howardsmithlaw.com
www.howardsmithlaw.com

View original content:https://www.prnewswire.com/news-releases/ldi-investors-have-opportunity-to-lead-loandepot-inc-securities-lawsuit-301411318.html

SOURCE Law Offices of Howard G. Smith

FAQ

What is the loanDepot securities fraud class action lawsuit about?

The lawsuit claims that loanDepot misled investors by failing to disclose significant declines in refinance originations and gain-on-sale margins prior to its February 2021 IPO.

What is the deadline to participate in the loanDepot class action lawsuit?

The lead plaintiff deadline for the loanDepot class action lawsuit is November 8, 2021.

How can I join the loanDepot securities fraud class action?

Investors can join by contacting the Law Offices of Howard G. Smith for further information about their legal rights regarding the class action.

Who can be a lead plaintiff in the loanDepot class action lawsuit?

Investors who purchased loanDepot shares after its February 2021 IPO and incurred substantial losses can seek to be lead plaintiffs.