Class Action Filed Against Zynex for Securities Fraud Claims

Law Offices of Howard G. Smith announces a class action lawsuit for investors of Zynex, Inc. (“Zynex” or the “Company”) ZYXI who purchased securities between March 13, 2023, and March 11, 2025 (the “Class Period”). Investors have until May 19, 2025 to file a lead plaintiff motion.

IF YOU ARE AN INVESTOR WHO SUFFERED A LOSS IN ZYNEX, INC. (ZYXI), CONTACT THE LAW OFFICES OF HOWARD G. SMITH TO PARTICIPATE IN THE LAWSUIT.

Interested parties can contact the Law Offices of Howard G. Smith by email at [email protected], by phone at (215) 638-4847, or visit www.howardsmithlaw.com for more information.

What Happened?

On June 4, 2024, a report by medical journal STAT accused Zynex of a scheme to inundate pain patients with excess supplies, leading to inflated billing to insurers. The report suggested that this practice resulted in insurers removing Zynex from their networks. Following this news, Zynex’s stock dropped $0.50 per share, or 5%, closing at $9.35 on June 4, 2024, with unusually high trading activity.

On March 11, 2025, after the market closed, Zynex reported its fourth-quarter and full-year 2024 financial results. The Company disclosed a significant revenue shortfall attributed to slower payments from certain payers. Notably, they indicated that “Tricare has temporarily suspended payments as they review prior claims.” Tricare serves as the health insurance program for the U.S. military.

This information led to a further decline in Zynex’s stock, which fell $3.59 per share, or 51.3%, to close at $3.41 on March 12, 2025, marking another day of heavy trading.

What Is The Lawsuit About?

The class action complaint asserts that during the Class Period, Defendants made misleading statements about the Company’s business and concealed material facts regarding its operations. Specifically, it alleges that Defendants did not disclose: (1) the excessive shipping of products, including electrodes; (2) the resultant inflation of revenue; (3) scrutiny from insurers, including Tricare; (4) potential adverse consequences, including removal from insurer networks; and (5) that previous positive statements regarding the Company were materially misleading.

Contact Us To Participate or Learn More:

If you purchased Zynex securities or have information about these claims or questions regarding your rights, please reach out:

Law Offices of Howard G. Smith,

3070 Bristol Pike, Suite 112,

Bensalem, Pennsylvania 19020,

Telephone: (215) 638-4847

Email: [email protected],

Visit our website at: www.howardsmithlaw.com.

This press release may be considered Attorney Advertising under relevant laws and ethical guidelines in certain jurisdictions.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250321810489/en/

Contact Us:

Law Offices of Howard G. Smith

Howard G. Smith, Esquire

215-638-4847

[email protected]

www.howardsmithlaw.com