SAN FRANCISCO, Sept. 22, 2022 (GLOBE NEWSWIRE) — Hagens Berman urges LifeStance Health Group, Inc. LFST investors with significant losses Submit your losses now.

Relevant period: June 7, 2021 – August 10, 2022
Deadline for lead plaintiff: October 11, 2022
Visit: www.hbsslaw.com/investor-fraud/LFST
Contact a lawyer now: [email protected]
844-916-0895

LifeStance Health Group, Inc. (LFST) Securities Class Action:

The action is being brought on behalf of purchasers of Lifestance common stock pursuant to and/or traceable to the registration statement issued in connection with Lifestance’s public offering on June 10, 2021.

The complaint alleges that Lifestance’s IPO registration statement failed to disclose: (1) The number of virtual visits customers made using LifeStance decreased when COVID-19 lockdowns were lifted, causing outpatient/ The company’s virtual revenue growth leveled off; (2) operating expenses increased as in-person customer visits increased in response to the lifting of lockdown orders; (3) the physician burnout rate increased, reducing physician retention well below 87% and requiring additional costs to hire new, albeit less productive, physicians; and (4) as a result of the foregoing, LifeStance’s business metrics and financial prospects were not as well as shown in the registration statement.

On August 11, 2021, LifeStance reported financial results for the second quarter of 2021. Management attributed the dismal results to increased physician turnover and acknowledged that it had seen this trend midway through the second quarter of 2021, explaining that new hires would be less productive for up to six months.

On November 8, 2021, LifeStance reported third quarter 2021 financial results and announced:[c]clinical retention [had] stabilized at about 80% annualized in the third quarter.”

On March 10, 2022, LifeStance reported financial results for fiscal 2021. Management acknowledged that three-quarters of mentally ill people prefer in-person services.[w]When COVID 2020 first emerged, our patient was…