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Ardent Health (ARDT) stock plummeted over 33% following the disclosure of a $97 million accounting adjustment related to revenue and liability reserves. The event has triggered a law firm investigation into whether leadership concealed material weaknesses in internal controls, leading to significant investor losses.
Healthcare stocks experienced a notable downturn, with the NYSE Health Care Index falling 1% amid significant sector-specific headwinds. The decline reflects investor concerns following major job cut announcements and company-specific financial struggles, challenging the sector's traditional defensive appeal.
The NYSE Health Care Index posted a marginal gain of 0.2% as a rally in cannabis-related stocks, fueled by potential U.S. policy shifts, offset significant negative news from traditional healthcare providers. Ardent Health, Inc. faces a securities investigation after revealing substantial financial adjustments.