Hagens Berman is probing Embecta over investor claims tied to insulin pen needles
The firm says a class action in New Jersey alleges Embecta misled investors about its pen needle business before a May 5, 2026 disclosure, a dividend cut and guidance reduction.
Hagens Berman says it is investigating Embecta Corp. after a class action lawsuit accused the company of violating federal securities laws over statements about its insulin pen needle business.
The law firm’s notice says the complaint was filed in the U.S. District Court for the District of New Jersey and covers investors who bought Embecta shares between Nov. 25, 2025, and May 4, 2026. The notice sets an Aug. 17, 2026, deadline for would-be lead plaintiffs.
According to the notice, plaintiffs say Embecta repeatedly described its pen needle portfolio as “stable,” “resilient” and “incredibly resolute” while, they allege, it was losing share and facing weaker retail channel volume.
The notice says those issues were especially acute at a major customer. It also says management kept reaffirming positive financial guidance even though, plaintiffs allege, it knew or recklessly ignored the problems.
The purported corrective disclosure came on May 5, 2026, when Embecta reported second-quarter fiscal 2026 results, cited headwinds in the U.S. pen needle market, cut full-year 2026 adjusted EPS guidance by about 43% at the midpoint and reduced its quarterly dividend from $0.15 to $0.01 per share. The notice says the stock fell 57.8% in a single trading day after that update.
Embecta, which trades on Nasdaq under the ticker EMBC, is the focus of the shareholder-rights firm’s review. The notice identifies Reed Kathrein as the Hagens Berman partner leading the matter and says the firm is looking into whether the company’s earlier assurances were misleading in light of the later revenue decline and market softness.
Hagens Berman lists contact options for investors at hbsslaw.com/investor-fraud/embc, [email protected] and 844-916-0895.
The lead plaintiff deadline is Aug. 17, 2026, which the notice says is the next procedural date in the case.
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