Lost Money on Embecta Corp. (EMBC)? Join Class Action Suit Seeking Recovery - Contact Levi & Korsinsky

Important Notice Regarding Alleged Pen Needle Revenue Misrepresentations That Cost Embecta Investors Over 57% of Share Value

NEW YORK, July 15, 2026 /PRNewswire/ -- Levi & Korsinsky, LLP notifies investors in Embecta Corp. (NASDAQ: EMBC) that a class action lawsuit has been filed on behalf of shareholders who purchased securities between November 25, 2025 and May 4, 2026. Find out if you qualify to recover losses. You may also contact Joseph E. Levi, Esq. at [email protected] or (212) 363-7500.

Embecta shares collapsed from $9.25 to $3.90 in a single trading session, a loss of $5.35 per share (57.8%), after the Company disclosed a $75 million revenue guidance reduction driven primarily by U.S. pen needle weakness. The lead plaintiff deadline is August 17, 2026.

How Pen Needle Weakness Allegedly Undermined Reported Guidance

Pen needles represent approximately 85% of Embecta's product portfolio when combined with safety pen needles. The lawsuit contends that throughout the Class Period, the Company reaffirmed fiscal year 2026 revenue guidance of $1.071 billion to $1.093 billion while internally confronting accelerating share loss and volume erosion in this core segment. Pen needle shortfalls accounted for roughly $53 million of the $75 million total guidance reduction, making this single product category responsible for over 70% of the revenue miss.

Key Pen Needle Segment Allegations for Shareholders

• Pen needle share loss was concentrated at a single major customer, yet the Company described the segment as "incredibly resolute" weeks before the miss
• Market volume softness in the retail channel for insulin pens and pen needles contributed an estimated $20 million revenue shortfall
• Patients shifting purchases to lower-cost channels where Embecta does not participate created additional pressure unaddressed in guidance
• Share loss disproportionately affected patients not on preferred payer plans, amplifying the per-unit revenue impact beyond what average pricing suggested
• Inventory reductions at certain accounts and net pricing pressure added approximately $8 million in pen needle headwinds
• Syringe, swab, and safety product declines contributed an additional $22 million in revenue shortfall, of which approximately $13 million was from syringes, $5 million from discontinued swab products, and $4 million from safety products

The Insulin Injection Market Context

The global insulin delivery device market has been undergoing structural change. Pump adoption and GLP-1 therapies have reshaped patient purchasing patterns, particularly in the United States. The complaint alleges that Embecta repeatedly cited geographic diversification and the stability of insulin pen prescriptions to reassure investors, while the U.S. retail channel was already experiencing measurable declines in new prescriptions for insulin pens. These declines were greater in long-acting insulin categories and were more pronounced in the retail channel than in long-term care or specialty channels.

Speak with an attorney about recovering damages or call (212) 363-7500.

"This case presents important questions about revenue guidance disclosure obligations in the medical device sector, particularly when a company's dominant product category faces concentrated customer losses and shifting market dynamics that management allegedly knew were undermining stated projections," -- Joseph E. Levi, Esq.

Submit your information to join this case or contact Joseph E. Levi, Esq. at (212) 363-7500.

ABOUT LEVI & KORSINSKY, LLP -- Over the past 20 years, Levi & Korsinsky has secured hundreds of millions of dollars for aggrieved shareholders. The firm has extensive expertise in complex securities litigation and a team of over 70 employees. For seven consecutive years, Levi & Korsinsky has ranked in ISS Securities Class Action Services' Top 50 Report. Applications to serve as lead plaintiff must be filed by August 17, 2026.

Frequently Asked Questions About the EMBC Lawsuit

Q: What is the EMBC class action lawsuit about? A: A securities class action has been filed against Embecta Corp. (NASDAQ: EMBC) alleging materially false and misleading statements between November 25, 2025 and May 4, 2026. Shares fell approximately 57.8% after the truth was revealed, causing significant losses for shareholders.

Q: Who is eligible to join the EMBC investor lawsuit? A: Investors who purchased EMBC stock or securities between November 25, 2025 and May 4, 2026 and suffered financial losses may be eligible. Eligibility is based on purchase date and documented losses, not on whether you still hold the shares.

Q: How much did EMBC stock drop? A: Shares fell approximately 57.8%, a decline of $5.35 per share, after the Company disclosed a massive revenue shortfall and slashed fiscal year 2026 guidance. Investors who purchased shares during the class period at artificially inflated prices may be entitled to compensation.

Q: What do EMBC investors need to do right now? A: Gather brokerage records including purchase dates, share quantities, and prices paid. Contact Levi & Korsinsky for a free, no-obligation evaluation at [email protected] or (212) 363-7500. No immediate action is required to remain eligible as a class member.

Q: What if I already sold my EMBC shares -- can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold them. Investors who bought during the class period and sold at a loss may still participate.

Q: What does it cost me to participate? A: Nothing. Securities class actions are handled on a pure contingency basis. No upfront fees, no retainer, no out-of-pocket costs.

Q: How long will the lawsuit take to resolve? A: Securities class actions typically take two to four years from initial filing to resolution.

CONTACT:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 27th Floor
New York, NY 10004
[email protected]
Tel: (212) 363-7500
Fax: (212) 363-7171

SOURCE Levi & Korsinsky, LLP