Lyft (LYFT.US) has emerged victorious in a shareholder lawsuit stemming from an earnings release error.

A federal judge has dismissed a shareholder lawsuit against Lyft (LYFT.US) that alleged the ride-hailing company deceived investors by taking too long to correct errors in its earnings release, which led to some investors buying shares at inflated prices. The lawsuit was filed on behalf of investors who bought Lyft shares between 4:05 p.m. and 4:51 p.m. ET on Feb. 13, 2024, marking the time between the company's initial earnings release and its formal correction during its earnings call. Specifically, Lyft had expected one of its profit margins to grow by 500 basis points in 2024, but it actually grew by 50 basis points. The unexpected margin guidance caused Lyft's stock price to surge in the short term and attracted some unwitting buyers at inflated prices. San Francisco-based U.S. District Court Judge Trina Thompson ruled that the shareholders participating in the proposed class action had not proven that the company and its executives intentionally deceived anyone by reporting incorrect profit margins, and it was not unreasonable for Lyft to take extra time to correct the data release. As of the time of writing, Lyft's stock price rose slightly by 0.96% before the market opened on Friday.