Open Lending Investor Sues After 58% Stock Drop, Troubled Loans

Open Lending Corp. misrepresented its profit-sharing revenue and hid that loans in its historic vintages business were underperforming before a record selloff, a proposed class action said.

The stock price plummeted 58% to $1.17 a share on April 1, 2025—the day after the company revealed negative $56.9 million in revenue for the fourth fiscal quarter of 2024, partly due to reduced profit-share estimates, an investor told the US District Court for the Western District of Texas. It was the stock’s steepest one-day tumble since the company went public in 2020, according to data compiled by Bloomberg.

Open Lending also clocked ...