From Financial Modeling Prep: 2025-06-16 18:00:00

DoubleVerify Holdings, Inc. (NYSE: DV) is facing legal scrutiny by Faruqi & Faruqi, LLP for alleged violations of federal securities laws, resulting in investor losses exceeding $75,000 between November 10, 2023, and February 27, 2025. The investigation focuses on misleading statements and omissions by DoubleVerify and its executives.

Customer ad spending is shifting to closed platforms like Meta and Amazon, revealing technology limitations for DoubleVerify. The company’s struggles with monetizing high-margin Activation Services on closed platforms have impacted its competitiveness. Allegations suggest competitors integrating AI better, leading to decreased profitability and overbilling of customers for ad impressions served to bots.

On February 27, 2025, DoubleVerify reported lower Q4 2024 sales and earnings, attributing the decline to reduced customer spending and service suspensions by a major client. This caused a 36% stock price drop from $21.73 to $13.90 per share. Despite challenges, BMO Capital maintained an “Outperform” rating with a raised price target of $26.

Currently, DoubleVerify’s stock is priced at $14.66 with a market cap of around $2.38 billion, showing a 1.10% increase today. Trading volume stands at 1,893,773 shares, with stock fluctuations between $23.11 and $11.52 over the past year. Investors can contact Faruqi & Faruqi, LLP for more details on the class action.



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