PR Newswire | Aug 13, 2021 10:37AM EDT

Stock Price has Plummeted Since IPO; Investors Suffering Losses Encouraged to Contact the Firm

08/13 09:36 CDT

(HNST) Alert: Johnson Fistel Launches Investigation into The Honest Company - Stock Price has Plummeted Since IPO; Investors Suffering Losses Encouraged to Contact the Firm SAN DIEGO, Aug. 13, 2021

SAN DIEGO, Aug. 13, 2021 /PRNewswire/ -- Shareholder Rights Law Firm Johnson Fistel, LLP, is investigating potential claims against The Honest Company, Inc. (NASDAQ: HNST) ("The Honest Company" or the "Company") for violations of federal securities laws.

On or about May 5, 2021, The Honest Company sold about 25.8 million shares of stock in its initial public stock offering (the "IPO") at $16 a share, raising nearly $413 million in new capital.

On Wednesday, August 13, 2021, The Honest Company released its second quarter ended June 30, 2021, financial results. The Company posted a net loss of $20.2 million, or 17 cents a share, for the quarter, after a loss of $375,000, or 1 cent a share, in the year-earlier period. Following this news, the stock was trading down over 27% in early morning trading on August 13, 2021.

Specifically, Johnson Fistel's investigation seeks to determine whether the Company's filings with the U.S. Securities and Exchange Commission in connection with its May 2021 IPO and subsequent investor communications contained untrue statements of material facts or omitted to state other facts necessary to make the statements made therein not misleading concerning the Company's business, and operations.

If you have information that could assist in this investigation, or if you are aThe Honest Companyshareholder and are interested in learning more about the investigation, please contact Jim Baker (jimb@johnsonfistel.com) at 619-814-4471. If emailing, please include a phone number.

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About Johnson Fistel, LLP:Johnson Fistel, LLP is a nationally recognized shareholder rights law firm with offices in California, New York and Georgia. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. For more information about the firm and its attorneys, please visit http://www.johnsonfistel.com. Attorney advertising. Past results do not guarantee future outcomes.

Contact:Johnson Fistel, LLPJim Baker, 619-814-4471 jimb@johnsonfistel.com

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SOURCE Johnson Fistel, LLP