Kirby McInerney LLP Files Securities Class Action for StubHub Investors
Kirby McInerney LLP has initiated a class action lawsuit for investors in StubHub Holdings, Inc. (NYSE:STUB). This case concerns those who purchased the company’s securities under the registration statement issued during its September 2025 initial public offering (IPO).
Key Details of the Class Action
The lawsuit alleges significant shortcomings related to the IPO. Specifically, StubHub failed to inform investors about:
- Changes in the timing of payments to vendors affecting cash flow.
- A negative impact on free cash flow, which was negatively reported as a loss of $4.6 million.
- Misleading information regarding free cash flow in offering documents.
These disclosures were revealed on November 13, 2025, when the company posted its earnings, showcasing a 143% decrease compared to the previous year. The reported free cash flow had dropped from $10.6 million to a negative $4.6 million.
Impact on StubHub’s Stock Price
Following the earnings report, StubHub’s shares plummeted by approximately 21%. The stock price fell from $18.82 per share to $14.87 by the close of trading the next day. By November 24, 2025, the stock had dipped to $12.01, nearly 50% less than the IPO price of $23.50 per share.
Lead Plaintiff Appointment Process
Investors affected by the IPO have until January 23, 2026, to request appointment as lead plaintiff. Courts generally select the plaintiff with the largest financial loss to take on this role. Lead plaintiffs can influence case strategy and settlement discussions, ensuring that their interests—and those of the class—are adequately represented.
What Should Investors Do?
For those who purchased StubHub securities and wish to learn more about their rights, it is advisable to contact Kirby McInerney LLP. Investors can reach out via email to Lauren Molinaro or fill out the contact form for a consultation at no cost.
Kirby McInerney LLP is a New York-based law firm specializing in securities, antitrust, whistleblower, and consumer litigation, having secured significant recoveries for shareholders in previous securities cases.
