Expensify, Inc. (NASDAQ: EXFY)

This lawsuit is for anyone who acquired securities in Expensify, Inc. (NASDAQ: EXFY) from November 8, 2021 through November 29, 2023.

The lawsuit alleges that the Company and certain of its executives violated federal law. Specifically, the lawsuit alleges that, in the Prospectus to the Company’s IPO, the Company misled investors regarding its financial condition. More specifically, the lawsuit alleges that the Company misled investors by issuing overly optimistic guidance on growth without a reasonable basis for doing so.

On June 12, 2023, Morgan Stanley downgraded Expensify from Equal-weight to Underweight, citing structural headwinds and the Company’s risk-reward profile. On this news, Expensify’s stock price fell $0.45, or 6.3%, to close at $6.72 per share on June 12, 2023, thereby injuring investors. On this news, the price of the Company’s stock dropped precipitously on unusually heavy trading volume. Then, on August 8, 2023, Expensify released its second quarter 2023 financial results, reporting GAAP EPS of -$0.14, missing consensus estimate of -$0.07, and revenue of $38.9 million, missing consensus estimate of $41.5 million. Additionally, the Company withdrew its previously issued revenue growth guidance. On this news, the price of the Company’s stock again dropped precipitously on unusually heavy trading volume. Finally, on November 7, 2023, after the market closed, Expensify released its third quarter 2023 financial results, again missing consensus estimates, reporting a GAAP loss of $0.21 per share and a 14.1% year-over-year revenue decline. On this news, the price of the Company’s stock again dropped precipitously on unusually heavy trading volume and traded at a lower price on the date of this lawsuit than at the time of the IPO.

The Law Offices of Howard G. Smith seeks to recover damages on behalf of class members. If you acquired securities in Expensify, Inc. (NASDAQ: EXFY) from November 8, 2021 through November 29, 2023 you may join the lawsuit by submitting your information online, or you may call the Law Offices of Howard G. Smith and speak to Mr. Smith directly to learn how he can protect your rights.