GoHealth Investors Recover $29.25 Million in Shareholder Action

GoHealth recently agreed to pay its investors over $29 million to resolve securities claims against the company.   

The case concerns allegations that GoHealth failed to disclose a strategic business shift that it implemented prior to its IPO. According to court documents, the shift included rapid customer expansion and associated negative impacts on GoHealth’s key financial metrics at the time of and after the IPO. Plaintiffs allege that by failing to disclose that shift and its financial impacts, GoHealth’s IPO Registration Statement claims that it would rapidly expand its business while improving its financial metrics were false and misleading.   

“When companies go public to take advantage of the capital offered by the securities markets, it’s important for investors, and firms like Robbins Geller, to enforce the securities laws and encourage full disclosure. We’re very pleased with this result and proud of our clients,” said Robbins Geller Rudman & Dowd LLP partner Robert J. Robbins. Robbins has secured several record-setting recoveries for investors in recent years, including a $1.21 billion recovery against Valeant Pharmaceuticals in 2021, which is one of the ten largest-ever securities fraud recoveries in U.S. history.  

Notably, individual investors served as the lead plaintiffs that represented the class of impacted GoHealth investors in this case. Illustrating the important role that shareholders play under U.S. law, this recovery is one of several high-impact results that the Firm has secured in recent months – among them Bioverativ ($84 million recovery), and Walgreens/Rite Aid ($192.5 million) – in shareholder actions led by individual investors.  

Judge Jeremy C. Daniel of the U. S. District Court for the Northern District of Illinois granted preliminary approval of the $29.25 million recovery on February 27, 2024. The recovery is pending final court approval.  

Robbins Geller partners James E. Barz, Robert J. Robbins, and Sabrina E. Tirabassi led this litigation on behalf of our clients and the class.  

About Robbins Geller  

Robbins Geller Rudman & Dowd LLP is one of the world’s leading complex litigation firms, representing plaintiffs in securities fraud, shareholder derivative, antitrust, corporate takeover, and consumer fraud and privacy cases. With 200 lawyers in 10 offices, Robbins Geller is one of the world’s largest plaintiffs’ firms, and the Firm’s attorneys have obtained many of the largest securities, antitrust, and consumer class action recoveries in history.  

The Firm is ranked #1 on the most recent ISS Securities Class Action Services Top 50 Report for recovering more than $1.75 billion for investors in 2022 – the third year in a row Robbins Geller tops the list. And in those three years alone, Robbins Geller recovered nearly $5.3 billion for investors, more than double the amount recovered by any other plaintiffs’ firm. The Firm secured the largest-ever securities fraud class action settlement – $7.2 billion – in In re Enron Corp. Securities Litigation.  

For media inquiries, please contact media@rgrdlaw.com or call (619) 338-3821.  

In re GoHealth, Inc. Securities Litigation, No. 1:20-cv-05593 (N.D. Ill.).