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MSP Recovery Subsidiary Liable for $12.7M in Damages

Story Highlights
  • On August 20, 2025, a jury found MSP Recovery, LLC liable for breach of an oral contract.
  • The verdict may impact the company’s financial condition and ability to raise capital.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
MSP Recovery Subsidiary Liable for $12.7M in Damages

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MSP Recovery ( (MSPR) ) has issued an announcement.

On August 20, 2025, a jury in the Menendez Litigation found MSP Recovery, LLC, a subsidiary of MSP Recovery, Inc., liable for breach of an alleged oral contract, awarding plaintiffs $12.7 million in damages. Although the jury exonerated the parent company and its CEO, John H. Ruiz, from fraud and misrepresentation claims, the verdict has introduced uncertainty regarding the company’s financial condition and may impact its ability to raise capital or continue operations. The company plans to challenge the verdict through post-trial motions and potential appeals.

The most recent analyst rating on (MSPR) stock is a Sell with a $0.50 price target. To see the full list of analyst forecasts on MSP Recovery stock, see the MSPR Stock Forecast page.

Spark’s Take on MSPR Stock

According to Spark, TipRanks’ AI Analyst, MSPR is a Underperform.

MSP Recovery’s overall stock score is heavily impacted by its poor financial performance and negative technical indicators. The company’s ongoing financial difficulties, combined with bearish market momentum and poor valuation metrics, result in a low score. While the legal victory against GEICO is a positive corporate event, it is not sufficient to offset the significant financial and technical challenges.

To see Spark’s full report on MSPR stock, click here.

More about MSP Recovery

Average Trading Volume: 402,053

Technical Sentiment Signal: Sell

Current Market Cap: $3.89M

See more insights into MSPR stock on TipRanks’ Stock Analysis page.

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