Rocket Pharmaceuticals investors sue after shares crash over 60% due to FDA hold.

A securities class action lawsuit has been filed against Rocket Pharmaceuticals, alleging that investors suffered substantial losses after the company's shares crashed 60% on May 27, 2025, due to an FDA clinical hold on its Phase 2 pivotal trial for RP-A501. The lawsuit seeks to represent investors who purchased or acquired Rocket Pharmaceuticals securities between February 27, 2025, and May 26, 2025. The lead plaintiff deadline is August 11, 2025.

A securities class action lawsuit has been filed against Rocket Pharmaceuticals, Inc. (NASDAQ: RCKT), alleging that investors suffered substantial losses after the company's shares crashed 60% on May 27, 2025. The lawsuit, styled Ho v. Rocket Pharmaceuticals, Inc., et al., No. 3:25-cv-10049 (D. N.J.), seeks to represent investors who purchased or acquired Rocket Pharmaceuticals securities between February 27, 2025, and May 26, 2025 [1].

The lawsuit comes following the FDA's clinical hold on the company's Phase 2 pivotal trial for RP-A501, an experimental therapy intended to treat patients with a rare gene disorder called Danon disease. The FDA placed the hold after a patient suffered a Serious Adverse Event (SAE) and ultimately died [2]. This news drove the price of Rocket Pharmaceutical's shares crashing $3.94 (-62%) on the same day [3].

The complaint alleges that Rocket Pharmaceuticals made materially false and misleading statements while failing to disclose to investors the true state of RP-A501’s safety and clinical trial protocol, knowledge of SAEs including patient deaths, and the company's amendments to the trial protocol to introduce a novel immunomodulatory agent to the pretreatment regimen [1].

Investors learned the truth on May 27, 2025, when the company revealed that the FDA put a clinical hold on its Phase 2 study. During the update call, management disclosed that the company amended the trial protocol "several months ago," which was seemingly unknown to analysts before the call [1].

Hagens Berman, the law firm representing the investors, urges Rocket Pharmaceuticals investors who suffered substantial losses to submit their losses now. The firm encourages persons with knowledge who may be able to assist in the investigation to contact its attorneys [1]. The lead plaintiff deadline is August 11, 2025.

Investors who wish to learn more about the lawsuit or submit their losses can visit www.hbsslaw.com/investor-fraud/rckt or contact the firm at RCKT@hbsslaw.com or 844-916-0895 [1].

References:
[1] https://www.globenewswire.com/news-release/2025/07/11/3114062/32716/en/Rocket-Pharmaceuticals-Inc-RCKT-Faces-Securities-Class-Action-Amid-Protocol-Change-and-FDA-s-Clinical-Hold-on-Gene-Therapy-Trial-Hagens-Berman.html
[2] https://www.morningstar.com/news/globe-newswire/9491971/rocket-pharmaceuticals-inc-rckt-faces-securities-class-action-amid-protocol-change-and-fdas-clinical-hold-on-gene-therapy-trial-hagens-berman
[3] https://www.news-journal.com/shareholders-that-lost-money-on-rocket-pharmaceuticals-inc-rckt-should-contact-levi-korsinsky-about-pending/article_f33ed74b-f215-59f7-805b-7073d1098790.html