Microvast Holdings, Inc. (NASDAQ: MVST)

This lawsuit is for anyone who acquired securities in Microvast Holdings, Inc. (NASDAQ: MVST) from April 1, 2025 through March 16, 2026.

The lawsuit alleges that the Company and certain of its executives violated federal law. Specifically, the lawsuit alleges that, throughout the time period mentioned above, the Company misled investors regarding its financial condition. More specifically, the lawsuit alleges that the Company misled investors by overstating the Company’s ability to reach its margin targets and also by overstating the Company’s ability to complete its Huzhou Phase 3.2 expansion by the end of 2025.

On June 25, 2025, Grizzly Research published a report alleging, among other things, that Microvast “is fabricating a significant part of its business and capabilities” by overstating the level of activity at its production facilities—including its facility in Huzhou, China, which the Company had recently announced would be expanded (the “Huzhou Phase 3.2” expansion)—and likewise overstating the prospective economic opportunities from its commercial partnerships. Then, on August 1, 2025, Microvast announced that its CFO would be departing, just three months after joining the Company. On this news, the price of the Company’s stock dropped precipitously on unusually heavy trading volume. Then, on November 10, 2025, Microvast released its financial and operating results for the quarter ended September 30, 2025, revealing that production following the Huzhou Phase 3.2 expansion would not begin until Q1 2026, despite repeated assurance that the additional capacity associated with the expansion would be online by Q4 2025. On this news, the price of the Company’s stock again dropped precipitously on unusually heavy trading volume. Finally, on March 16, 2026, Microvast released its financial and operating results for the quarter and year ended December 31, 2025, reporting a gross margin decline to approximately 1%, down from approximately 36% from the prior year, which the Company attributed to inventory impairment charges arising from “specialized ESS components”. The Company also reported decreased revenue due to “regulatory shifts in South Korea and delays in customer platform ramp-up” in Europe, the Middle East, and Africa. On this news, the price of the Company’s stock again dropped precipitously on unusually heavy trading volume.

The Law Offices of Howard G. Smith seeks to recover damages on behalf of class members. If you acquired securities in Microvast Holdings, Inc. (NASDAQ: MVST) from April 1, 2025 through March 16, 2026 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.