EMBC Alert: Hagens Berman Investigates Alleged Securities Law Violations at Embecta Corp. (NASDAQ: EMBC) Following Pending Class Action Litigation

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EMBC Alert: Hagens Berman Investigates Alleged Securities Law Violations at Embecta Corp. (NASDAQ: EMBC) Following Pending Class Action Litigation

PR Newswire

SAN FRANCISCO, July 21, 2026 /PRNewswire/ -- Hagens Berman, a leading national shareholder rights law firm, is conducting an investigation into Embecta Corp. (NASDAQ: EMBC) regarding alleged violations of federal securities laws. This investigation follows the recent filing of a class action lawsuit in the U.S. District Court for the District of New Jersey, which alleges that Embecta misrepresented the commercial stability of its insulin pen needle business.

Class Action

The firm encourages Embecta investors who suffered substantial losses to submit your losses now.

Class Period: Nov. 25, 2025 – May 4, 2026
Lead Plaintiff Deadline: Aug. 17, 2026
Visit: www.hbsslaw.com/investor-fraud/embc
Contact the Firm Now: EMBC@hbsslaw.com
                                        844-916-0895

Focus of Embecta (EMBC) Securities Class Action:

The pending securities class action alleges that Embecta and its management misled investors regarding the stability and commercial strength of its core insulin pen needle business. The complaint contends that throughout the class period, Embecta repeatedly assured investors that its pen needle portfolio was "stable," "resilient," and "incredibly resolute." Plaintiffs allege these statements were materially false and misleading because, in reality, the company was experiencing significant competitive share loss—particularly at a major customer—and broader market volume softness in the retail channel, all of which management allegedly knew or recklessly disregarded while reaffirming its positive financial guidance.

The truth behind these alleged misrepresentations was revealed on May 5, 2026, when in delivering its second-quarter fiscal 2026 financial results Embecta admitted to a massive revenue decline, citing specific headwinds in the U.S. pen needle market that contradicted its prior assurances. The company slashed its full-year 2026 adjusted EPS guidance by approximately 43% at the midpoint and announced a drastic 93% reduction in its quarterly dividend, dropping it from $0.15 to $0.01 per share.

The market response to this news was immediate and severe, causing Embecta's stock price to plummet 57.8% over a single trading day.

"We are investigating whether Embecta's assurances were misleading, given that the company later reported a significant revenue decline and cited market volume softness," said Reed Kathrein, the Hagens Berman partner leading the firm's investigation of the pending claims.

Investor Rights

Investors who purchased or acquired Embecta common stock during the Class Period are encouraged to contact our legal team.

If you'd like more information and answers to other frequently asked questions about the Embecta case and the firm's investigation, read more »

Whistleblowers: Persons with non-public information regarding Embecta 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 EMBC@hbsslaw.com.

About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman's team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw

Attorney Advertising. Prior results do not guarantee a similar outcome in any future case.

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SOURCE Hagens Berman Sobol Shapiro LLP