#Pomerantz LLP #SEC Fraud #Charming Medical

Class Action Lawsuit Against Charming Medical Ltd.

In recent news, the Pomerantz Law Firm has filed a class action lawsuit against Charming Medical Ltd. (NASDAQ: MCTA), bringing attention to potential securities fraud violations linked to the company. As financial analysts and investors continue to navigate the complexities of the stock market, this lawsuit highlights the risks associated with investing in seemingly prosperous companies.

The lawsuit specifically targets Charming Medical Ltd. and certain officers or directors, alleging misconduct around business practices and securities fraud. Investors affected by the company's questionable actions are encouraged to reach out and join the class action to ensure their voices are heard. Those who want to be considered as lead plaintiffs have until February 17, 2026 to take action.

Background on Charming Medical Ltd.

Charming Medical was listed with a closing stock price of $29.36 on November 11, 2025, with an intraday high reaching $31.70. With over 17.18 million shares outstanding, the company boasted a market capitalization of approximately $504 million. However, the situation took a significant turn when, during after-hours trading on the same day, the U.S. Securities and Exchange Commission (SEC) intervened and halted trading of the company's securities from November 12-25, 2025. This action was prompted by allegations that social media was leveraged by scammers to drive the stock price artificially high, encouraging investors to buy and hold shares, ultimately leading to a