Faruqi & Faruqi reminds ADMA Biologics investors of August 10, 2026 lead plaintiff deadline
The law firm says a federal securities class action alleges ADMA Biologics used channel stuffing, engaged in an undisclosed related-party transaction and lacked adequate internal controls, with shares falling after a Culper Research report.
Faruqi & Faruqi, LLP said investors who purchased or acquired ADMA Biologics securities between August 9, 2024 and March 25, 2026 have until August 10, 2026 to seek appointment as lead plaintiff in a federal securities class action. The complaint alleges ADMA Biologics, Inc. and its executives violated federal securities laws by making false and misleading statements, or failing to disclose, that the company engaged in an undisclosed related-party transaction, used channel stuffing to create the appearance of revenue, and lacked adequate internal controls. The release points to a March 24, 2026 report by Culper Research alleging that ADMA induced a distributor to stock excess ASCENIV through rebates and extended payment terms, which allegedly allowed the company to book revenue and report 20% growth in 2025 instead of a 3% decline. ADMA shares fell $3.96, or 29%, over two trading days from $13.59 on March 23, 2026 to $9.63 on March 25, 2026, according to the release.
- lead plaintiff: The investor appointed by the court to represent the class and oversee the litigation.
- securities class action: A lawsuit brought on behalf of a group of investors alleging violations of securities laws.
- channel stuffing: A sales practice in which a company pushes excess product into distribution channels to boost reported revenue.