Pomerantz LLP Investigates Angi Inc. Over Potential Investor Claims

NEW YORK, May 2026 — Securities litigation firm Pomerantz LLP has announced that it is conducting an investigation on behalf of investors of Angi Inc. (NASDAQ: ANGI). The inquiry focuses on whether the company and certain members of its management team may have engaged in activities that could constitute securities fraud or other unlawful business practices.

Investigation Triggered by Weak Financial Results

The investigation follows the release of Angi’s first-quarter 2026 financial report, which revealed a series of disappointing financial metrics and operational challenges. Investors reacted negatively to the report, causing a significant decline in the company's stock price.

According to company disclosures, Angi reported revenue of approximately $238.2 million for the first quarter of 2026, representing a 3% decline compared with the same period in the previous year. In addition, the company posted an operating loss of $9.5 million, a notable reversal from the $20 million operating income reported during the prior-year quarter.

Declining Revenue Metrics Raise Concerns

Several operational indicators also showed significant deterioration. Angi disclosed that its Network Revenue dropped 56% year-over-year, while Revenue per Lead decreased by 5%. Management attributed part of the decline to the company providing additional leads to subscription-based professionals beyond the value of their existing contracts.

Furthermore, Angi reported a substantial reduction in its professional customer base. The company’s Average Monthly Active Pros fell to approximately 105,000, down from roughly 134,000 during the same period a year earlier. This represents a decline of nearly 22%, highlighting ongoing challenges in retaining service providers on the platform.

Major Strategic Shift Toward Artificial Intelligence

In addition to the disappointing earnings results, Angi announced a significant strategic transformation. The company revealed plans to transition toward an AI-native platform, signaling a major change in its business model and long-term growth strategy.

As part of this initiative, management stated that it would:

• Feature-freeze its legacy platform.
• Reduce emphasis on short-term revenue objectives.
• Discontinue providing quarterly financial guidance.
• Prioritize development of AI-driven services and infrastructure.

While the company described the move as a strategic investment in future growth, investors expressed concern regarding the potential impact on near-term profitability and operational stability.

Stock Price Suffers Significant Losses

Following the earnings announcement and strategic update, Angi’s shares experienced a sharp decline in market value. On May 6, 2026, the stock fell approximately 35.22%, losing $2.61 per share and closing at $4.80. The dramatic selloff reflected investor concerns about weakening financial performance, declining user metrics, and uncertainty surrounding the company’s new strategic direction.

Pomerantz LLP Examining Potential Securities Violations

Pomerantz LLP stated that its investigation seeks to determine whether Angi or certain executives may have provided misleading statements or failed to disclose material information to investors. Securities investigations of this nature typically examine whether shareholders suffered losses due to alleged misrepresentations, omissions, or other conduct that may have violated federal securities laws.

The law firm is encouraging investors who purchased or held Angi securities and experienced financial losses to come forward and provide information that could assist in the investigation.

About Angi Inc.

Angi is a digital marketplace that connects homeowners with service professionals across a wide range of categories, including home improvement, maintenance, repair, and remodeling services. The company operates several well-known brands and has long positioned itself as a technology-enabled platform designed to simplify home services for consumers. However, the latest financial results suggest that the company faces growing challenges related to customer engagement, professional retention, and revenue generation.

About Pomerantz LLP

Pomerantz LLP is a prominent law firm specializing in securities litigation, antitrust matters, and shareholder class actions. Founded more than 85 years ago, the firm has represented investors in numerous high-profile cases involving allegations of corporate misconduct, securities fraud, and breaches of fiduciary duty. The firm maintains offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv.

Potential Implications for Investors

The investigation highlights increasing scrutiny surrounding public companies that experience significant financial setbacks or implement major strategic transformations. For investors, the outcome of the investigation could determine whether further legal action, including a potential class-action lawsuit, may be pursued against the company or its executives.

While no formal allegations have been proven and no court has determined wrongdoing, the inquiry underscores the importance of transparency, accurate disclosures, and effective communication between public companies and shareholders.

Market Observers Continue Monitoring Developments

Financial analysts and investors are expected to closely monitor future developments involving Angi, particularly regarding the execution of its AI-focused strategy and efforts to stabilize revenue growth. The company's ability to regain investor confidence may depend on whether management can successfully implement its transformation plans while addressing concerns raised by shareholders and legal investigators.

Disclaimer: The investigation announced by Pomerantz LLP is currently in its preliminary stages. The existence of an investigation does not imply that any violation of law has occurred, and all parties remain entitled to the presumption of innocence unless proven otherwise through appropriate legal proceedings.

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