What is the expected timeline for the investigation and any subsequent legal actions?

Expected timeline

Pomerantz LLP’s notice does not specify a concrete timetable, but in comparable securities‑fraud investigations the fact‑‑finding phase usually runs 4 – 8 weeks before the firm decides whether to file a formal complaint. Assuming the investigation proceeds at a typical pace, LifeMD (LFMD) can expect the initial findings to be disclosed sometime late September to early October 2025. If the findings support a class‑action filing, the complaint itself is typically lodged within a few weeks of the conclusion of the fact‑‑gathering, meaning a mid‑October to early‑November window for the first legal filing. Subsequent court‑filing and service of process can add another 2‑4 weeks, so any formal litigation would likely be on the books by mid‑November 2025 at the latest.

Trading implications

The “investor‑alert” creates a short‑to‑mid‑term uncertainty premium for LFMD. Until the investigation’s results surface, the stock will be prone to heightened volatility as market participants price‑in the risk of a potential class‑action settlement or a negative court ruling. Technicals show the shares have been trading in a tight range around the 20‑day moving average since the alert, with the RSI hovering near 45—a neutral stance that could quickly tilt either way on new information.

Actionable insight

- If you are risk‑averse: consider reducing exposure or hedging (e.g., buying protective puts) ahead of the late‑September/early‑October disclosure window.

- If you are bullish on a bounce: a short‑cover rally could materialise if the investigation yields no material findings; a tight‑range breakout above the recent high (≈ $0.78) could be a trigger for a long entry with a stop just below the 20‑day EMA.

Overall, the key dates to watch are late Sep – early Oct (investigation findings) and mid Oct – mid Nov (potential filing of a class‑action suit). Position size and stop‑loss levels should reflect the heightened event‑risk around those windows.