Berger Montague PC Files Class Action Lawsuit Against LifeMD, Inc. Over Securities Fraud Allegations

Overview of the Class Action Lawsuit Against LifeMD

On September 4, 2025, the national plaintiffs' law firm Berger Montague PC announced the initiation of a class action lawsuit against LifeMD, Inc. (NASDAQ: LFMD). This legal action is directed at investors who purchased or acquired shares of LifeMD's stock between May 7 and August 5, 2025. The suit raises significant concerns regarding the integrity of LifeMD's business practices and its financial disclosures.

Background of LifeMD

LifeMD, headquartered in New York City, is primarily recognized for providing telehealth services along with pharmacy operations offering direct-to-patient care. In an era where healthcare reliance on digital solutions is increasing, LifeMD has endeavored to position itself as a significant player within the telehealth sector.

Allegations of Misleading Statements

The lawsuit claims that LifeMD made materially false and misleading statements concerning its competitive stance and financial projections. Specifically, the company is accused of overstating its effectiveness in the market and raising its financial guidance for 2025 without adequately accounting for rising customer acquisition costs. These allegations are particularly focused on its RexMD segment and its products related to obesity treatment, such as Wegovy and Zepbound.

As the suit alleges, these misleading communications were promising a brighter future for the company's stock, ultimately leading investors to make purchase decisions based on faulty information. When these facts came to light, LifeMD's share price plummeted by an alarming 44%, or $5.31 per share, in a single trading session.

The Role of Investors

For those who invested in LifeMD during the questioned time frame, there is a call to action. The firm encourages these investors to consider their rights and potentially seek appointment as lead plaintiff representatives within the class action. Interested parties have until October 27, 2025, to take these steps and advocate for their interests.

Berger Montague’s Legal Expertise

Founded in 1970, Berger Montague has built a solid reputation in the realm of securities class action litigation. With expertise acquired over more than five decades, the firm serves a multitude of individual and institutional investors across the United States, providing knowledgeable counsel and robust representation in the legal system. With multiple offices throughout the country, Berger Montague has been at the forefront of addressing issues surrounding securities fraud to protect investor rights.

Conclusion

The unfolding case against LifeMD serves as a vital reminder of the responsibilities companies hold in communicating their financial conditions honestly and transparently to the shareholders. Berger Montague's action reflects not just a legal endeavor for the sake of their clients, but a commitment to uphold corporate accountability in the marketplace.

Investors who find themselves impacted by LifeMD's alleged misrepresentation of its financial situation are encouraged to reach out to Berger Montague for further information on their rights and the ongoing litigation.