ODDITY Investors Invited to Seek Lead Role in Class Action Over Ad-Algorithm Shock

Overview

• Plaintiffs’ firms Hagens Berman and Rosen are recruiting ODDITY shareholders to seek the lead-plaintiff role under a court-set deadline.
• The filed suit says ODDITY hyped its AI-driven growth while failing to disclose that its biggest ad partner’s algorithm steered ads into lower-quality auctions at unusually high prices.
• ODDITY later reported a “dislocation” with that ad partner and forecast about a 30% drop in first-quarter revenue, which was followed by a one-day 49% share plunge that erased over $600 million in value.
• Hagens Berman says it is probing when management first knew of the disruption after executives told an analyst they only noticed something changed in the second half of 2025.
• No class has been certified, so investors are not represented unless they hire counsel, and the firms are also seeking witnesses and SEC whistleblowers, who may be eligible for awards of up to 30% of an SEC recovery.