Stride, Inc.

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Investigation Details

On October 16, 2024, after a report from Fuzzy Panda Research alleged that Stride has been inflating its earnings by misleading investors about the impact of federal COVID-19 relief funds. The report claims that more than 25% of Stride’s EBITDA came from Elementary and Secondary School Emergency Relief (ESSER) funds, which expired in September 2024. The report also accuses Stride of hiding “ghost students” and failing to disclose schools leaving the company, alongside allegations of overbilling and fraudulent reimbursement claims.

Following this news, shares of Stride fell 5% the same day.