Investors Face August Deadline in GeneDx Securities Class Action

The lawsuit, Basma v. GeneDx Holdings Corp., alleges that executives violated the Securities Exchange Act of 1934 by failing to disclose critical problems within Fabric Genomics, a firm specializing in AI-driven genomic interpretation that GeneDx acquired in April 2025. These alleged omissions came to light on May 4, 2026, when GeneDx reported a sharp decline in adjusted gross margins—falling from 74% to 69%—and slashed its projected earnings by tens of millions of dollars. The company also disclosed a $31.3 million impairment loss linked directly to the Fabric Genomics unit.

Following the May 4 disclosure, GeneDx stock plummeted by more than 49%. The law firm of Robbins Geller Rudman & Dowd LLP is now seeking investors who purchased common stock between April 16, 2025, and May 4, 2026, to serve as lead plaintiffs. Under the Private Securities Litigation Reform Act of 1995, the lead plaintiff acts on behalf of the class, overseeing the litigation strategy and selecting counsel. Interested parties are directed to contact attorneys Ken Dolitsky or Michael Albert to participate in the proceedings.