Grabar Law Office Initiates Investigation on Shareholder Claims for Ibotta and Others
Philadelphia, Tuesday, 2 September 2025.
Grabar Law Office is investigating potential corporate governance issues for companies like Ibotta, Napco Security Technologies, and SelectQuote, affecting stock performance and shareholder confidence.
Investigation Details and Implications
On September 2, 2025, Grabar Law Office announced an investigation into potential corporate governance issues involving Ibotta, Inc. (NYSE: IBTA), Napco Security Technologies, Inc. (NASDAQ: NSSC), SelectQuote, Inc. (NYSE: SLQT), and Treace Medical Concepts, Inc. (NASDAQ: TMCI) [1]. These investigations are particularly focused on whether the respective officers and directors of these companies breached their fiduciary duties, an issue that could significantly affect shareholder trust and the companies’ stock performances [1].
Focus on Ibotta’s Shareholder Concerns
Specifically, for Ibotta, the investigation centers around potential inaccuracies in the statements made in their April 18, 2024 IPO Registration Statement, which allegedly failed to properly inform investors about the at-will nature of Ibotta’s contract with The Kroger Co. [1]. This has raised alarms among long-term shareholders who purchased shares at the IPO and still hold them, as they may seek legal remedies such as corporate reforms and the return of funds [1].
Legal Actions and Broader Impact
For Napco Security Technologies, shareholders have a class action claim that has survived a motion to dismiss, allowing those who have held shares since before November 7, 2022, to pursue corporate reforms and financial restitution [1]. Similarly, SelectQuote faces allegations under the False Claims Act for receiving illegal kickbacks from health insurance companies, which could further complicate its legal and financial standing [1]. Meanwhile, Treace Medical Concepts is under scrutiny for potentially misleading statements about its business prospects and product demand [1].
Market Reactions and Analyst Views
Ibotta’s stock has been under pressure, reflected by a ‘Hold’ consensus rating from analysts, with significant target price reductions from major financial institutions like Goldman Sachs and UBS Group [2]. These downgrades followed a disappointing second-quarter earnings report, which saw a revenue decline and an unfavorable outlook for the third quarter [3]. The ongoing legal scrutiny and negative press sentiment may continue to weigh on Ibotta’s stock performance, as reflected by its trading price and recent insider sell-offs [2][3].