Investors Urged to Act as Faruqi & Faruqi Investigates Inspire Medical Claims

Faruqi & Faruqi Investigates Inspire Medical Systems Claims

In a significant legal move, Faruqi & Faruqi LLP, a premier national securities law firm, is currently investigating potential claims on behalf of investors who have sustained financial losses through transactions involving Inspire Medical Systems, Inc. This investigation arises from alarming announcements made by Inspire Medical about its new product, the Inspire V device, which has miserably failed to meet market expectations.

Background of Inspire Medical Systems

Founded to deliver innovative solutions, Inspire Medical Systems has positioned itself in the medical device sector, focusing primarily on solutions for obstructive sleep apnea. Despite promising technology, recent performance metrics reveal a concerning decline in demand for its products, raising flags for current investors.

Allegations and Legal Implications

According to a report issued on November 21, 2025, the firm is poised to represent those who acquired shares in Inspire Medical during the period from August 6, 2024, to August 4, 2025. The firm underscores a critical deadline of January 5, 2026, for seeking the role of lead plaintiff in a federal securities class action against the company. The issued complaint brings forth serious allegations against company executives, suggesting that they violated federal securities laws by disseminating misleading information regarding the performance of Inspire V and not disclosing essential facts about its actual market demand.

The company's August 4 announcement highlighted severe challenges surrounding the Inspire V rollout. Officials cited extensive delays attributed to numerous treatment centers that were yet to finalize the required training and onboarding processes essential for implementing the new device. More alarmingly, Inspire Medical confirmed that it faced billing challenges, even with Medicare's approval of a CPT code, because the essential software updates remained pending, leading several centers to continue utilizing the outdated Inspire IV system. The fallout from poor product performance and logistical issues culminated in Inspire drastically revising its 2025 earnings guidance, cutting it by over 80%.

Following the bombshell revelations, investors reacted swiftly. Inspire's stock plummeted by more than 32% in just one day—dropping from $129.95 per share on August 4 to $87.91 on August 5—resulting in a staggering loss of approximately $1.2 billion in market capitalization. The implications of this stock drop are profound, marking a pivotal moment for both the company's credibility and its investors.

Taking Action

Harry (Josh) Wilson, a Senior Partner at Faruqi & Faruqi, has urged affected investors to come forward. Interested parties can reach Josh directly at 877-247-4292 or 212-983-9330 (Ext. 1310) for more information and to discuss their legal options related to the potential securities class action. Faruqi & Faruqi is soliciting input from anyone with insights into Inspire Medical's activities, including whistleblowers, previous employees, and shareholders. Those interested in becoming a lead plaintiff are encouraged to consult legal counsel but do have the option to stay anonymous, affecting no potential recovery.

The firm has a strong history of securing favorable results for investors, having recovered hundreds of millions since its establishment in 1995. Legal representation in this situation may prove vital as the timeline for asserting claims is rapidly approaching.

For updated information about the Inspire Medical class action process, potential plaintiffs are invited to visit Faruqi & Faruqi's website or reach out via phone for confidentiality.

Conclusion

The investigation by Faruqi & Faruqi reveals pivotal details about Inspire Medical Systems' current standing and the significant financial turmoil its investors are facing. As the January deadline looms, it is crucial for stakeholders impacted by this case to act swiftly and seek guidance regarding their rights and options.