Stride Inc. overstated its enrollment numbers with “ghost students” and hid it was ignoring compliance requirements like employee background checks, an investor’s proposed class action said.
The online educator’s share price plummeted more than 54% to close at $70.05 Oct. 29, its biggest one day drop on record, according to data compiled by Bloomberg.
Stride’s CEO had said that a rocky upgrade to its learning and technology platforms led to a “poor customer experience,” causing higher student withdrawal and lower conversation rates than expected, on an earnings call the evening prior. CEO James Rhyu said the combination of this and ...
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