Ardent Health (ARDT) Hit With Securities Class Action Amid Receivables and Reserves Issues Driving 33% Plunge – Hagens Berman
01/08/2026 07:49 PM • Ardent Health (ARDT) faces a securities class action lawsuit following Q3 2025 disclosures revealing $90 million in adverse accounting adjustments related to accounts receivable collectability and liability reserves. The company's stock plunged 33% after revealing a $42.6 million revenue decrease and $47.2 million increase in professional liability reserves. Investors allege company leadership failed to disclose material weaknesses in internal controls, instead using a 180-day cliff reserve method rather than the detailed historical collection reviews previously claimed.
ARDT - Company disclosed significant accounting issues totaling ~$90 million in adverse adjustments, including $42.6 million revenue decrease and $47.2 million reserve increase. Stock fell 33% following disclosures. Lawsuit alleges management failed to disclose material weaknesses in internal controls and misrepresented revenue accounting practices to investors.