SAN FRANCISCO - Hagens Berman urges Stagwell Inc. (NASDAQ: STGW) investors who suffered substantial losses to submit your losses now.

Visit: www.hbsslaw.com/investor-fraud/STGW

Contact An Attorney Now: [email protected], 844-916-0895

Stagwell Inc. (STGW) Investigation:

Questions concerning the propriety of Stagwell’s accounting and financial reporting have recently arisen, as the company has admitted to significantly understating its 2022 expenses thereby boosting its net income.

Specifically, in its 2022 Annual Report, Stagwell claimed it earned net income of $65.8 million, an 80% increase year-over-year.

But, on Feb. 27, 2024, Stagwell disclosed its 2022 net income had been materially overstated. The company disclosed that there were problems with its prior accounting for income taxes and accumulated other comprehensive loss. As a result, Stagwell revised its the 2022 income statement to increase tax expenses by $18 million, meaning that the company apparently understated income taxes by over 300%.

In turn, the company revealed that its 2022 net income was previously overstated by about $15.7 million (or by nearly 30%).

This news sent the price of Stagwell shares sharply lower on Feb. 27, 2024.

“We are investigating the facts and circumstances that led to Stagwell materially understating expenses and overstating its net income,” said Reed Kathrein, the Hagens Berman partner leading the firm’s investigation.

If you invested in Stagwell and have substantial losses, or have knowledge that may assist the firm’s investigation, click here to discuss your legal rights with Hagens Berman »

If you’d like more information and answers to frequently asked questions about the Stagwell investigation, read more »

Whistleblowers: Persons with non-public information regarding Stagwell should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].

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