#United States #New York #Class Action #Kahn Swick #Ready Capital

Class Action Alert: Ready Capital Investors

Kahn Swick & Foti, LLC, led by former Louisiana Attorney General Charles C. Foti, Jr., has issued an important reminder for investors who experienced losses exceeding $100,000 from their investments in Ready Capital Corporation (NYSE: RC). Investors still have the opportunity to join a class action lawsuit, but the deadline for applying as lead plaintiff is rapidly approaching on May 5, 2025.

Details of the Class Action Lawsuit

The class action involves allegations against Ready Capital and its executives for failing to disclose crucial information impacting the company's stock during the class period, which extends from November 7, 2024, to March 2, 2025. During this period, shareholders saw their investments significantly affected by inadequate corporate disclosures.

On March 3, 2025, Ready Capital reported disappointing financial outcomes, revealing a quarterly net loss of $1.80 per share and a full-year loss of $2.52 per share for 2024. The losses stemmed from the company’s initiative to stabilize its financial condition by reserving for all nonperforming loans in its commercial real estate portfolio. Specifically, executives noted a staggering $284 million was used for expected credit losses and valuation allowances, marking a stark decline in asset value.

Following this revelation, the stock price took a nosedive, plummeting over 26% within a single trading session, closing at $5.07, driven by unusual trading volume. This dramatic turn of events underscored the potential impact of undisclosed financial vulnerabilities faced by the company prior to the announcement.

Importance of Acting Quickly

Investors who purchased shares during the specified class period are encouraged to contact Kahn Swick & Foti to discuss their legal options. The firm provides a no-obligation consultation to understand how the case might influence individual investors' rights and recovery efforts. Interested parties can reach out to Managing Partner Lewis Kahn toll-free at 1-877-515-1850, or via email at email protected] Alternatively, further information is available on their website [here.

About Kahn Swick & Foti, LLC

Kahn Swick & Foti, LLC is recognized as a leading boutique law firm specializing in securities litigation. With offices across key U.S. locations, including New York, California, and Louisiana, KSF has a robust track record of representing clients ranging from retail investors to large institutional shareholders in claims for recovery related to corporate fraud. The firm's dedication to achieving justice and recovery for its clients has distinguished it as a trusted partner in complex litigation landscapes.

This important class action alerts affected investors to carefully consider their options in seeking restitution for losses incurred during the turbulent events related to Ready Capital. With the May 5 deadline approaching, stakeholders are urged to act promptly to safeguard their interests and participate in this significant legal endeavor.