Investors Launch Class Action Against Capricor Therapeutics Over Stock Discrepancies

Class Action Lawsuit Filed Against Capricor Therapeutics, Inc.

In a significant development, The Gross Law Firm has announced a class action lawsuit against Capricor Therapeutics, Inc. (NASDAQ: CAPR), sparking attention from investors affected by the company's recent news. Shareholders who acquired shares during the designated class period, from October 9, 2024, to July 10, 2025, are encouraged to reach out to the firm for potential lead plaintiff appointments. It's important to note that becoming the lead plaintiff is not a prerequisite for participating in any financial recovery.

Background of the Case

The lawsuit stems from allegations that Capricor Therapeutics disseminated misleading information concerning its lead therapy candidate, deramiocel, which is intended for treating cardiomyopathy associated with Duchenne muscular dystrophy (DMD). The defendants are accused of presenting overly optimistic statements about the company’s progress in obtaining a Biologics License Application (BLA) from the U.S. Food and Drug Administration (FDA).

Information released to investors suggested that Capricor was on a clear path to FDA approval, which created false expectations. However, these claims allegedly masked significant adverse facts regarding the safety and efficacy data from the Phase 2 HOPE-2 trial studying deramiocel.

On July 11, 2025, everything changed when Capricor issued a press release revealing they received a Complete Response Letter (CRL) from the FDA. The CRL explicitly stated that the BLA did not meet the necessary standard for evidence of effectiveness, thereby indicating that additional clinical data would be required. Moreover, the letter highlighted unresolved issues related to the Chemistry, Manufacturing, and Controls (CMC) aspects of the application, surprising both investors and industry watchers.

Impact on Stock Value

Following this unsettling announcement, Capricor's stock price suffered a significant drop, plummeting from $11.40 per share on July 10, 2025, to $7.64 per share the next day. This drastic decline illustrates the direct impact of the reported misleading communications on investor confidence and market performance.

What Investors Need to Know

For shareholders who purchased shares of CAPR within the stated class period, it's crucial not to delay registering for this class action. The registration deadline for potential lead plaintiff roles is set for September 15, 2025. Interested parties can easily register their information through The Gross Law Firm’s dedicated link to secure participation.

Upon registration, shareholders will benefit from a portfolio monitoring service that keeps them updated throughout the duration of the case. Importantly, there is no cost or obligation for shareholders who wish to join the lawsuit.

Why Choose The Gross Law Firm?

The Gross Law Firm has established itself as a formidable advocate for investors, seeking justice for those affected by fraudulent practices. Their commitment to upholding investors' rights and securing disclosures can provide a crucial lifeline for shareholders grappling with losses, particularly in light of misleading statements that led to inflated stock values.

Their ongoing efforts emphasize that corporations must adhere to ethical business conduct, ensuring transparency and accountability in their operations. The firm’s engagement in this case aims to correct the course for individuals whose trust was compromised, underlining the risks investors face when companies fail to disclose critical information accurately.

Conclusion

As the lawsuit unfolds, investors are called to action to protect their interests and understand the implications of this case. Those impacted by the Capricor situation should consider their options seriously and remain vigilant as developments continue in this ongoing legal battle.