Edelson Lechtzin Launches Investigation into Simulations Plus, Potential Securities Violations

Investigation of Simulations Plus, Inc. by Edelson Lechtzin LLP

Edelson Lechtzin LLP, a prominent law firm, has announced an investigation regarding Simulations Plus, Inc. (NASDAQ: SLP) following potential violations of federal securities laws. This inquiry arises from allegations that the company provided misleading business information to its investors, which may have led to significant financial losses. Investors who have encountered losses in their dealings with Simulations Plus are encouraged to come forward and provide relevant information to assist in the investigation.

The Background of Simulations Plus

Founded to support the pharmaceutical industry, Simulations Plus specializes in software and consulting services that facilitate drug discovery and development. This involvement has made it a key player in a highly competitive market. However, the company's recent dealings have raised red flags regarding its transparency and operations.

In April 2025, Simulations Plus engaged Grant Thornton as their auditor, which is noteworthy as the firm’s financial assessments can greatly affect a company’s stock price and overall market perception. Following the hiring of Grant Thornton, the company reported weak preliminary earnings results, which significantly influenced investor confidence and share prices. By June 2025, the stock had plummeted over 24% from its value, closing at $20.05 per share as uncertainties loomed over the market.

Allegations of Misleading Information

The situation deteriorated further on July 14, 2025, when Simulations Plus announced a staggering $77.2 million charge linked to prior acquisitions and subsequently dismissed Grant Thornton. This dismissal raised concerns, especially as it came amidst reported unresolved internal control problems. The aftermath was drastic; the company's stock price dropped an additional 25.76%, settling at $12.97 per share. Such volatility has called the company’s business practices into question, leading to speculation about the accuracy of the financial information provided to investors.

The Role of Edelson Lechtzin LLP

Edelson Lechtzin LLP has positioned itself as a national leader in representing victims of financial fraud through class-action lawsuits and other legal means. The firm's investigative efforts will focus on various aspects that could represent breaches of fiduciary duties, including the integrity of financial statements and compliance with relevant regulations which govern securities transactions.

The firm is actively seeking potential class members who may have suffered losses due to these alleged misrepresentations. Any investors facing similar situations with Simulations Plus are urged to collaborate with Edelson Lechtzin LLP either by providing case information or seeking legal counsel. The firm is prepared to assist investors navigate through the claims process to determine if they have any legal recourse.

For interested parties, Edelson Lechtzin LLP has provided multiple means of contact. Individuals can directly reach out to attorneys Marc Edelson or Eric Lechtzin via the firm’s dedicated hotline or email. This outreach aims at gathering further information to bolster the investigation and offer substantial support to harmed investors.

Conclusion

In conclusion, the investigation by Edelson Lechtzin LLP into Simulations Plus, Inc. exemplifies the diligence required to uphold the integrity of the securities market. As the situation unfolds, it emphasizes the importance of transparency in corporate operations and the need for responsible communication with shareholders. Investors who suspect they've been misled are advised to take action, protecting their rights through legal avenues offered by seasoned professionals in the field. As this investigation continues, more updates will likely emerge, shedding light on the complexities surrounding Simulations Plus and its future in the market.