ODDITY Hit With Investor Suits After Ad-Partner Algorithm Disruption

Overview

• Rosen Law Firm on Tuesday joined Hagens Berman, Levi & Korsinsky, and Frank R. Cruz in seeking investors to lead a securities class action by May 11, 2026.
• The cases center on claims that an algorithm change at ODDITY’s largest advertising partner diverted its ads into lower-quality auctions at abnormally high costs.
• ODDITY forecast about a 30% year-over-year revenue decline for Q1 2026, which followed the disclosure and coincided with a roughly 49% plunge that erased more than $600 million in market value.
• Complaints name CEO Oran Holtzman and CFO Lindsay Drucker Mann as individual defendants under a control-person theory tied to the company’s public statements.
• On the February 25 earnings call, management said it noticed changes in the second half of 2025, and Hagens Berman is also inviting potential whistleblowers to contact the firm under the SEC program.