Investor rights notice for Microvast Holdings, Inc. shareholders focuses on alleged margin-target and expansion-timeline misstatements, the 34.2% MVST decline, and practical options available to investors who purchased during the Class Period.
NEW YORK, Aug. 19, 2026 /PRNewswire/ -- Levi & Korsinsky, LLP notifies investors in Microvast Holdings, Inc. (NASDAQ: MVST) that a class action has been filed on behalf of shareholders who purchased securities between April 1, 2025 and March 16, 2026. Submit your information. You may also contact Joseph E. Levi, Esq. at jlevi@levikorsinsky.com or (212) 363-7500.
MVST shares fell $0.79 per share, or 34.2%, to close at $1.52 on March 17, 2026, after Microvast reported Q4 2025 revenue of $96.5 million versus a $136.4 million consensus estimate, gross margin of 1.0%, and a $32.5 million inventory impairment. Lead plaintiff applications must be submitted by September 21, 2026.
Microvast Investor Rights Securities Class Action: What Shareholders Should Know
The action alleges that Microvast overstated its ability to reach high gross margin targets and complete the Huzhou Phase 3.2 manufacturing expansion by the end of 2025. Plaintiffs contend investors were not adequately informed about inventory management issues, customer platform rollout delays in EMEA, and other operational pressures that allegedly affected the Company's margin outlook.
The complaint also asserts that the Company repeatedly presented capacity expansion and profitability targets as achievable while later disclosures showed production timing had shifted and specialized ESS inventory did not generate expected revenue during 2025.
What Investors Were Allegedly Not Told About Their Rights
Investors who acquired MVST securities during the Class Period may wish to review whether their trading records show losses tied to the alleged disclosures. Relevant investor-rights considerations include:
- Purchases between April 1, 2025 and March 16, 2026 may fall within the alleged Class Period.
- Losses may be evaluated using purchase dates, sale dates, share quantities, and prices paid.
- Investors do not need to have held shares through the final disclosure to review potential eligibility.
- The lawsuit seeks remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5.
- Investors who do not seek appointment as lead plaintiff may remain absent class members if a class is certified.
Alleged Red Flags and Shareholder Decision Points
The action alleges that investors faced a sequence of disclosures, including a June 2025 short-seller report, the August 2025 departure of a CFO after approximately three months, the November 2025 update that Huzhou Phase 3.2 production would begin in Q1 2026 rather than Q4 2025, and the March 2026 revenue and margin miss.
"The timeline raises important questions about when certain risks were known internally versus when they were disclosed to the investing public. Investors who purchased during the alleged Class Period should understand that their rights may depend on documented trading records and the timing of alleged corrective disclosures," said Joseph E. Levi, Esq., managing partner of Levi & Korsinsky, LLP.
Act now. Click here to learn more or call (212) 363-7500.
WHY LEVI & KORSINSKY:Â Over the past 20 years, Levi & Korsinsky LLP has established itself as a nationally-recognized securities litigation firm that has secured hundreds of millions of dollars for aggrieved shareholders and built a track record of winning high-stakes cases. The firm has extensive expertise representing investors in complex securities litigation and a team of over 70 employees to serve our clients. For seven years in a row, Levi & Korsinsky has ranked in ISS Securities Class Action Services' Top 50 Report as one of the top securities litigation firms in the United States.
Frequently Asked Questions About the MVST Lawsuit
Q: What is the MVST class action lawsuit about? A: A securities class action has been filed against Microvast Holdings, Inc. (NASDAQ: MVST) alleging materially false and misleading statements between April 1, 2025 and March 16, 2026. Shares fell approximately 34.2% after the Company disclosed Q4 2025 revenue of $96.5 million, gross margin of 1.0%, and a $32.5 million inventory impairment. Investors who purchased shares during the Class Period and suffered losses may be eligible to seek compensation.
Q: How much did MVST stock drop? A: Shares fell approximately 34.2%, a decline of $0.79 per share, after Microvast reported Q4 2025 financial results that included a significant revenue miss, a gross margin collapse to 1.0%, and an inventory impairment tied to specialized ESS components.
Q: What specific misstatements does the MVST lawsuit allege? A: The complaint alleges Microvast made materially false or misleading statements regarding its ability to reach high gross margin targets, complete the Huzhou Phase 3.2 expansion by the end of 2025, and manage customer rollout delays and ESS inventory issues during the Class Period.
Q: What court was the MVST class action filed in? A: The case was filed in the United States District Court for the Southern District of Texas, Houston Division, and is governed by the Private Securities Litigation Reform Act of 1995.
Q: What is a lead plaintiff and why does it matter? A: A lead plaintiff is the investor appointed by the court to represent the entire class. Lead plaintiffs are typically investors with the largest documented losses. Being appointed does not increase individual recovery but gives direct oversight of how the case is run.
Q: What documents do I need to submit my information? A: Brokerage statements or trade confirmations showing purchase dates, share quantities, prices paid, and any subsequent sale dates and prices are typically useful for evaluating potential losses.
Q: What if I already sold my MVST shares, can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold the shares. Investors who bought during the Class Period and sold at a loss may still be eligible to participate.
Q: Do I need to go to court or give testimony? A: No. The overwhelming majority of class members never appear in court or give depositions. If there is a settlement or recovery, eligible class members generally submit a claim form to seek their portion.
CONTACT:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 27th Floor
New York, NY 10004
Tel: (212) 363-7500
Fax: (212) 363-7171
Attorney Advertising. Prior results do not guarantee similar outcomes.
View original content to download multimedia:https://www.prnewswire.com/news-releases/mvst-investor-alert-microvast-holdings-inc-securities-class-action-notice---contact-levi--korsinsky-302855399.html
SOURCE Levi & Korsinsky, LLP
(0) comments
Welcome to the discussion.
Log In
Keep it Clean. Please avoid obscene, vulgar, lewd, racist or sexually-oriented language.
PLEASE TURN OFF YOUR CAPS LOCK.
Don't Threaten. Threats of harming another person will not be tolerated.
Be Truthful. Don't knowingly lie about anyone or anything.
Be Nice. No racism, sexism or any sort of -ism that is degrading to another person.
Be Proactive. Use the 'Report' link on each comment to let us know of abusive posts.
Share with Us. We'd love to hear eyewitness accounts, the history behind an article.