#USA #New York #Securities Class Action #Faruqi & Faruqi #Zynex

Urgent Notice for Zynex Investors: Class Action Alert

Faruqi & Faruqi, LLP, a preeminent national securities law firm, has recently brought to light an important deadline for investors in Zynex, Inc. Those who acquired its securities between February 25, 2021, and December 15, 2025, must pay attention: the time to act is critically short. On April 21, 2026, the firm reminds stakeholders of their right to join a federal securities class action lawsuit, potentially as lead plaintiffs.

The allegations against Zynex are serious, with the firm asserting that the company may have engaged in deceptive practices that violate federal securities laws. Key points outlined in the complaint include:

• - Zynex reportedly shipped products, such as electrodes, beyond market demand.
• - This practice allegedly led to inflated revenue figures.
• - It also attracted scrutiny from significant insurers, notably Tricare, which is a health insurance program for U.S. military personnel.

A significant wave of scrutiny was initiated after an action commenced against Zynex and some of its top executives, which could see damages north of $23 million related to numerous fraudulent claims filed between 2018 and 2023. Investors may find it alarming that management's emphasis on aggressive sales led to neglecting compliance with industry regulations.

Implications for Zynex Shareholders

The implications of these developments have been profound, particularly highlighted during the company's fourth-quarter earnings report on March 11, 2025. The report disclosed a notable revenue shortfall that was attributed primarily to delays in payments from certain payers, including the aforementioned Tricare, which constituted approximately 20-25% of Zynex's total revenue.

Following this report, Zynex's stock experienced a dramatic drop of 51.3%, closing at $3.41 per share from a previous high of $7.00. Such fluctuations signal the potential peril for investor portfolios associated with Zynex.

On July 31, 2025, revelations of Zynex's noncompliance with industry regulations surfaced further fueling investor hesitation. The leadership shake-up, with the appointment of CEO Steven Dyson and the departure of CFO Daniel Moorhead, raised questions about the company's governance and operational integrity. Subsequently, Zynex's stock plummeted once more, leading to a depreciation by 45% in one day.

Call to Action for Investors

Faruqi & Faruqi encourages you, if you've sustained losses due to Zynex's actions, to reach out to their office. They emphasize that a lead plaintiff is essential; however, it is crucial to know that all members of the putative class will benefit irrespective of their active participation.

This is not merely an opportunity to seek redress; it’s an invitation for whistleblowers, ex-employees, and any individual with insights into Zynex’s conduct to come forward. Your information could potentially have a substantial impact on the proceedings ahead.

To gain more insight or assistance in this matter, please visit their website at Faruqi & Faruqi or contact partner Josh Wilson at 877-247-4292 or 212-983-9330 (Ext. 1310). Investors must remain informed as this developing case continues to unfold, with potential ramifications for all involved.

Conclusion

For those affected by the unfolding story at Zynex, timely action and consultation could be pivotal. As April 21, 2026, draws near, stakeholders are encouraged to make prudent decisions regarding their next steps in response to their current exposure to the company’s stock and the pending class action lawsuit. Keep up with updates through Faruqi & Faruqi's social media channels to stay informed on the progress of this case.