Pomerantz LLP announced an investigation into potential securities fraud claims against Fiverr International Ltd., following a more than 8% drop in the company’s stock after it issued weak financial guidance.
The investigation concerns whether Fiverr and its executives engaged in unlawful business practices, according to a May 7 press release. "Investors are advised to contact Danielle Peyton at Pomerantz LLP," the firm said.
The probe follows Fiverr’s fourth-quarter 2025 financial results released on February 18, 2026. The company reported that its annual active buyers declined 13.6% year-over-year to 3.1 million. It also issued a full-year 2026 revenue forecast of $380 million to $420 million, representing a negative 3% to 12% change from the prior year.
On the news, Fiverr’s stock price fell $1.03 per share, or 8.34%, to close at $11.32 on February 19, 2026. The company stated its plan to focus on high-value work while intentionally deprioritizing lower-end transactions.
The investigation by Pomerantz LLP, a firm known for corporate and securities class-action litigation, adds a layer of legal uncertainty for Fiverr. The firm has a history of recovering damages for investors in similar cases.
The decline to $11.32 per share marked a new low for the stock, testing levels not seen since its earlier trading days. Investors will be watching for the outcome of the investigation and any potential class-action lawsuit that may follow.
This article is for informational purposes only and does not constitute investment advice.