Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased Veritone, Inc. (“Veritone” or the “Company”) (NASDAQ: VERI) securities between October 14, 2025 and April 14, 2026, inclusive (the “Class Period”). Veritone investors have until July 20, 2026 to file a lead plaintiff motion.
IF YOU ARE AN INVESTOR WHO SUFFERED A LOSS IN VERITONE, INC. (VERI), CONTACT THE LAW OFFICES OF HOWARD G. SMITH TO PARTICIPATE IN THE ONGOING SECURITIES FRAUD LAWSUIT.
Contact the Law Offices of Howard G. Smith to discuss your legal rights by email at howardsmith@howardsmithlaw.com, by telephone at (215) 638-4847 or visit our website at www.howardsmithlaw.com.
What Happened?
On March 26, 2026, after the market closed, Veritone issued a press release, partially announcing fourth quarter 2025 financial results, including revenue of in the range of $18.1 million to $30.0 million, and that the “Company has provided a range of expected revenue for the three and twelve months ended December 31, 2025 because it is currently finalizing its accounting determination of certain revenue transactions under ASC 606.”
On this news, Veritone’s stock price fell $0.77, or 29.5%, to close at $1.84 per share on March 27, 2026, on unusually heavy trading volume.
On April 1, 2026, before the market opened, the Company filed a Form NT 10-K with the SEC, disclosing the Company “was unable, without unreasonable effort or expense, to file its Annual Report on Form 10-K for the fiscal year ended December 31, 2025 . . . within the prescribed time period primarily due to delays in finalizing the Company’s accounting determination of certain barter revenue transactions under ASC 606.” The filing further stated the “ongoing accounting analysis” may “result in out-of-period adjustments, the largest of which may result in a reduction in revenue for the quarter ended September 30, 2025 of $1.5 million to $2.5 million, or 5.2% to 8.6%, of the total $29.1 million of revenue previously reported for such quarter.” The Company disclosed it was evaluating “whether the previously issued financial statements for the quarters ended June 30, 2025 and September 30, 2025 may need to berevised or restated.”
On this news, Veritone’s stock price fell $0.18, or 9.14%, to close at $1.79 per share on April 1, 2026, on unusually heavy trading volume.
On April 14, 2026, after the market closed, Veritone filed a Form 8-K with the SEC which disclosed the Company had “determined that the Company’s previously issued unaudited condensed consolidated financial statements as of and for the three and nine months ended September 30, 2025 should no longer be relied upon” due to errors which resulted in, among other things, a significant overstatement of revenue and understatement of net loss. The filing disclosed a number of errors, including “an error in the valuation of consideration received associated with an on-premise software sold and delivered to a customer” as well as the “misclassification of revenue and costs in transactions in which the Company acted as an agent under ASC 606, Revenue from Contracts with Customers.”
On this news, Veritone’s stock price fell $0.19, or 8.3%, to close at $2.09 per share on April 15, 2026, on unusually heavy trading volume.
What Is The Lawsuit About?
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that the Company inaccurately recorded and/or misclassified certain revenue and costs; (2) that, as a result, the Company overstated its revenue, assets, accounts receivable, royalties and other comprehensive income; (3) that Veritone maintained deficient internal controls over accounting and financial reporting; (4) that, as a result of the foregoing, the Company would be forced to restate certain of its financial statements, and (5) that, as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
Contact Us To Participate or Learn More:
If you purchased Veritone securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us:
Law Offices of Howard G. Smith,
3070 Bristol Pike, Suite 112,
Bensalem, Pennsylvania 19020,
Telephone: (215) 638-4847
Email: howardsmith@howardsmithlaw.com,
Visit our website at: www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260522974767/en/
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