Robbins LLP Informs iRhythm Technologies, Inc. (IRTC) Investors That the Class Action Beat the Motion to Dismiss

A shareholder filed a class action on behalf of all persons and entities that purchased or otherwise acquired iRhythm Technologies, Inc. (NASDAQ: IRTC) common stock between January 11, 2022 and May 30, 2023. iRhythm is a digital healthcare company that develops and manufactures heart monitoring devices designed to diagnose arrhythmias. 

According to the complaint, during the class period, iRhythm represented to investors that the Zio AT monitor was a real-time monitor intended for a target audience of high-risk patients.  The Company’s legacy monitor and main product, Zio XT, is a heart monitor intended for non-critical patients, as it does not provide real-time reporting.  The Company touted the potential growth for the Zio AT as an innovative product that had only just begun to penetrate the market for real-time monitoring, which investors looked upon favorably given the premium selling price associated with devices approved for high-risk patients.  As a result of these representations, the price of iRhythm common stock traded at artificially inflated prices throughout the class period. When the truth was revealed, the price of iRhythm declined.   

On June 3, 2025, Judge Jacqueline S. Corley granted in part and denied in part the defendants' motion to dismiss the complaint. In so doing, Judge Corley paved the way for litigation to proceed against iRhythm and its CEO.

What Now: Shareholders who own iRhythm Technologies, Inc. stock have legal options. Submit a form for more information.

All representation is on a contingency fee basis. Shareholders pay no fees or expenses.