Things were going so well for Fitbit. Now its stock is cratering—it is trading at slightly more than half of its roughly $30 IPO price.
The company also finds itself fending off a growing number of lawsuits, the most recent of which accuses the company’s officers and directors of misrepresenting or failing to disclosing that the heart rate monitoring technology used in the company’s Charge HR and Surge products was inaccurate. While that allegation was mirrored in a recent class-action lawsuit, the most recent class-action suit intends to join Fitbit shareholders who have invested in the company since its IPO.
