Class Action Alert for Inspire Medical Systems Investors
Faruqi & Faruqi, LLP, a prominent national securities law firm, has issued a reminder to investors of Inspire Medical Systems, Inc. concerning a pending class action lawsuit. This legal action has come to the forefront due to significant allegations regarding the company's failure to disclose critical information about its flagship product, the Inspire V device. The deadline for potential lead plaintiffs to step forward and participate in this class action is set for January 5, 2026.
Background of the Legal Action
Inspire Medical Systems, which is publicly traded under the ticker symbol INSP, has faced scrutiny since revealing serious setbacks in the launch of its latest medical device. Investors who acquired securities between August 6, 2024, and August 4, 2025, may be eligible to participate in this lawsuit. The class action highlights that the company and its executives allegedly misled shareholders regarding the product's market demand and the company's readiness to launch the Inspire V successfully.
On August 4, 2025, Inspire Medical announced unexpected delays and challenges affecting the rollout of the Inspire V device. As the company disclosed, many treatment centers had not finished the necessary training and onboarding processes to utilize the new product. Furthermore, the company faced billing challenges, as Medicare's approval of a CPT code for the Inspire V necessitated updates to the claims processing software that were not active until July 1, leading to billing issues that hampered the rollout.
In a shocking revelation, Inspire Medical reported that demand for the Inspire V device was weaker than anticipated and that there was an excess inventory problem. Consequently, the firm had to revise its 2025 earnings guidance downward by over 80%, triggering a significant decline in stock prices. Following this disclosure, Inspire's shares plummeted by more than 32% in a single trading day, translating to a loss of approximately $1.2 billion in market capitalization.
Investors' Options
Investors who believe they have been adversely affected by these developments are encouraged to contact Faruqi & Faruqi for a comprehensive evaluation of their rights. The firm's partner, Josh Wilson, has expressed a commitment to assisting these investors in understanding their legal options. Investors can reach him directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
As a reminder, potential lead plaintiffs are those who stand to gain the most from the lawsuit's success and who are representative of the class members. Any investor wishing to be considered for the role of lead plaintiff should act promptly, as the deadline is fast approaching.
Moreover, the law firm is also appealing to anyone with further information about Inspire Medical or its business practices, including whistleblowers and former employees, to come forward. The firm guarantees that all communications will be confidential.
In closing, as the January 5th deadline draws nearer, Inspire Medical investors should ensure they are informed and consider their legal standing regarding the upcoming class action. For further information and updates on the case, the firm has provided resources on their
website.
Faruqi & Faruqi, LLP has a proven track record, having aided investors in recovering significant amounts since its inception in 1995. As they continue to monitor this situation closely, affected investors are urged not to delay in seeking the necessary legal counsel.