Civitas Resources Faces Class Action Lawsuit Over Securities Fraud Allegations

Class Action Lawsuit Against Civitas Resources

On May 8, 2025, the law firm Bronstein, Gewirtz & Grossman, LLC, recognized for its work in investor protection, announced a class action lawsuit against Civitas Resources, Inc. (NYSE: CIVI) and certain of its officers. This legal action aims to address significant financial losses suffered by investors who acquired Civitas securities between February 27, 2024, and February 24, 2025, inclusively referred to as the "Class Period."

Allegations of Misleading Statements

The lawsuit claims that throughout the Class Period, Civitas and its executives made materially false and misleading statements regarding the company's business, operations, and future prospects. The complaint highlights several key points, alleging that Civitas was likely to drastically reduce its oil production in 2025 for several reasons, including:

1. Production Peak Decline: A significant decline in oil production was anticipated following a peak at the DJ Basin in late 2024.
2. Acquisition Needs: To increase production, Civitas would need to acquire additional acreage and development sites, leading to substantial debt accumulation.
3. Cost-Cutting Measures: The financial condition of the company allegedly mandated disruptive cost-reduction strategies, including significant workforce reductions.
4. Overstated Prospects: Consequently, Civitas's business outlook and operational capabilities were reportedly overstated.

These points culminate in the assertion that the public statements made by the company were misleading and didn't accurately reflect its financial and operational realities.

Taking Action

As a response to these allegations, Bronstein, Gewirtz & Grossman LLC is inviting investors who believe they have incurred losses to join the lawsuit. Those interested in participating can do so by visiting bgandg.com/CIVI. Moreover, investors are encouraged to act promptly, as they must request to be appointed as lead plaintiffs by July 1, 2025. Notably, participation as a lead plaintiff isn't a prerequisite for receiving any recovery resulting from the lawsuit.

Contingency Representation

The law firm operates on a contingency fee basis, which means that clients pay no upfront costs. Instead, attorneys' fees and expenses will only be deducted from any recovered amounts, highlighting a commitment to prioritizing client interests.

About Bronstein, Gewirtz & Grossman

Bronstein, Gewirtz & Grossman, LLC has a strong reputation for representing investors in securities fraud cases and shareholder derivative actions. Over the years, the firm has secured hundreds of millions of dollars in recoveries for its clients across the country, emphasizing its expertise and effectiveness in dealing with such intricate legal matters.

Conclusion

For investors in Civitas Resources, the opportunity to seek justice through participation in this class action lawsuit represents a chance to potentially recover losses incurred during the specified period. With the legal firm at the helm, those affected may find a pathway to reclaiming their investments while holding the company accountable for its alleged missteps during the class period. For the latest updates, investors are encouraged to follow the firm on their social media platforms.

For further inquiries, potential class members can contact Peretz Bronstein or Nathan Miller at the law firm for additional details.