ICON Public Limited Company (NASDAQ: ICLR)

This lawsuit is for anyone who acquired securities in ICON Public Limited Company (NASDAQ: ICLR) from July 27, 2023 through January 13, 2025.

The lawsuit alleges that the Company and certain of its executives violated federal law. Specifically, the lawsuit alleges that, throughout the time period mentioned above, the Company misled investors regarding its financial condition. More specifically, the lawsuit alleges that the Company misled investors by failing to timely inform investors of significant headwinds with two of the Company’s larger customers that would have a material negative affect on the Company’s revenue.

On October 23, 2024, Icon released its third quarter 2024 financial results, missing consensus estimates “due to specific customer and division-level impacts” including “material headwinds from two large customers undergoing budget cuts and changes in their development model, lower than anticipated vaccine-related activity, and ongoing cautiousness from biotech customers resulting in award and study delays.” On this news, the price of the Company’s stock dropped precipitously on unusually heavy trading volume. Then, on October 25, 2024, Truist published a report that summarized a discussion Truist analysts had with ICON’s management about the 3Q 24 financial results that revealed new details about what caused the poor results and reduced guidance. According to Truist, ICON knew for some time that two large customers were planning to diversify their business away from the Company. Specifically, ICON’s management described the situation as “not a new development” and explained that it “is actually a result of [ICON] merging with PRA.”  Management further explained to Truist that “ICON became a significant provider” for the two customers after ICON. On this news, the price of the Company’s stock again dropped precipitously on unusually heavy trading volume.

acquired PRA. The consolidation of providers caused by the merger “was flagged internally at the pharma customers” and it was known within ICON that these customers wanted to “balance potential risk in how much work is being sent to one particular provider.   Thus, additional competitors coming in [and taking work from the Company] did not come as a surprise to ICON.” Truist also revealed that ICON “knew it had some studies finishing off over the course of the summer in its long-term contract base[.]”

The Law Offices of Howard G. Smith seeks to recover damages on behalf of class members. If you acquired securities in ICON Public Limited Company (NASDAQ: ICLR) from July 27, 2023 through January 13, 2025 you may join the lawsuit by submitting your information online, or you may call the Law Offices of Howard G. Smith and speak to Mr. Smith directly to learn how he can protect your rights.