Why is the law firm Faruqi & Faruqi investigating Driven Brands Holdings Inc. (NASDAQ: DRVN)?

Faruqi & Faruqi is investigating potential claims on behalf of investors who suffered significant losses in Driven Brands stock or options. This follows a drop in share price of over 25% on February 25, 2026, after the company delayed its fourth-quarter earnings release.

What caused the Driven Brands stock price to drop over 25% on February 25, 2026?

Driven Brands shares fell sharply after the automotive services company announced it was delaying its fourth-quarter financial release. The delay occurred because material errors were discovered in previously issued financial statements, meaning they could no longer be relied upon.

Which specific financial years are impacted by the restatements announced by Driven Brands?

The material errors identified in Driven Brands' financial statements require the restatement of financials for fiscal years 2023 and 2024. The company indicated that previously issued financial statements for these specific periods should no longer be relied upon by investors.

What specific accounting errors were discovered in Driven Brands' financial statements?

Driven Brands found lease recording issues impacting right of use assets and liabilities, and cash account discrepancies causing overstatements of cash and revenue. They also discovered overstated company-operated store expenses and material weaknesses in internal financial controls.

Who can investors contact at Faruqi & Faruqi regarding the Driven Brands securities investigation?

Investors who suffered significant losses in Driven Brands can contact Faruqi & Faruqi partner James (Josh) Wilson directly. He can be reached by calling 877-247-4292 or 212-983-9330 (Ext. 1310) to confidentially discuss their legal rights and options regarding the stock drop.

Has Faruqi & Faruqi filed a class action lawsuit against Driven Brands yet?

Currently, the press release states that Faruqi & Faruqi is "investigating potential claims" against Driven Brands Holdings Inc. on behalf of investors. It does not confirm that a formal class action lawsuit has already been filed, only that an active investigation is underway.

Where can I find more online information about the Faruqi & Faruqi investigation into Driven Brands?

To learn more details about the ongoing Driven Brands investigation, investors can visit the specific web page set up by the law firm at www.faruqilaw.com/DRVN. Additional updates from the firm may also be posted on their social media channels, including LinkedIn, X, or Facebook.

Does contacting Faruqi & Faruqi about the Driven Brands investigation guarantee financial recovery?

No, contacting the firm does not guarantee a recovery. The announcement explicitly states that it is attorney advertising and notes that "prior results do not guarantee or predict a similar outcome with respect to any future matter" regarding the Driven Brands or any other investigation

What type of law firm is Faruqi & Faruqi, the firm investigating Driven Brands?

Faruqi & Faruqi, LLP is a leading national securities law firm. Founded in 1995, the firm has offices in New York, Pennsylvania, California, and Georgia, and claims to have recovered hundreds of millions of dollars for investors through justice, advocacy, and excellence.

Driven Brands Holdings Inc. - Faruqi & Faruqi LLP

Q: What is the deadline or requirement to join the Faruqi & Faruqi investigation into Driven Brands?

The provided announcement does not specify a legal deadline to join the investigation. It encourages investors who suffered significant losses in Driven Brands stock or options to contact the firm directly to discuss their options, noting that all communications remain confidential.

Driven Brands Holdings Inc.

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If you are a Driven Brands investor who suffered a loss and would like to learn more, you can provide your information below:

If you suffered significant losses in Driven Brands stock or options and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).

Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Driven Brands Holdings Inc. (“Driven Brands” or the “Company”) (NASDAQ: DRVN).

STOCK DROP: Driven Brands shares fell over 30% on February 25^th after the automotive services company delayed its fourth-quarter release due to material errors in its previously issued financial statements for the fiscal year ended December 28, 2024 (“fiscal year 2024”) and the fiscal year ended December 30, 2023 (“fiscal year 2023”) contained in the Company’s Annual Report on Form 10-K for the fiscal year 2024, and in previously issued unaudited condensed consolidated financial statements for each of the quarterly and year-to-date periods within fiscal year 2024 as well as the quarterly and year-to-date periods for the periods ended September 27, 2025, June 28, 2025 and March 29, 2025. The Company disclosed that these financial statements should not be relied upon and require restatement. Driven Brands also stated that the Report of its Independent Registered Public Accounting Firm on the financial statements and internal control over financial reporting should not be relied upon. Some of the errors include lease recording issues affecting right of use assets and liabilities, cash account discrepancies that led to overstatements of cash and revenue, and overstated company-operated store expenses for fiscal years 2023 and 2024. Additionally, the company identified material weaknesses in internal control over financial reporting.

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