ADMAAnother day, another legal headache
ADMA Biologics just got tagged with yet another securities-law investigation, this time from Bleichmar Fonti & Auld LLP. The firm says it’s looking into possible federal securities violations, which is lawyer-speak for: “We think there may be something here, and we’re going to dig.”
Why investors should care
When a biotech-ish name gets hit with repeated investigations, the market stops treating it like a one-off and starts treating it like a pattern. That can mean:
- higher legal expenses
- more distraction for management
- a chunkier risk discount on the stock
- a lot more volatility whenever new headlines drop
The annoying part of the story
This isn’t ADMA’s first trip to the legal escape room. The company has already been dealing with other securities probes, so this new notice doesn’t exactly scream “fresh start.” Even if nothing ultimately sticks, the overhang alone can be enough to keep investors on edge.
Big picture
For now, this is still an investigation, not a verdict. But in market land, “still under review” can be almost as bad as a fine if it keeps hanging around long enough.