ZoomInfo Technologies Class Action Lawsuit – GTM

Key Facts About ZoomInfo Technologies Inc. (NASDAQ: GTM)

● The Allegation: ZoomInfo and its top executives allegedly misled investors about the company's 2026 growth prospects, touting strong revenue momentum and AI product adoption while concealing slowing seat-based demand, weakening customer retention in its downmarket segment, and the risk that customers were delaying purchases to develop their own internal AI solutions.

● The Stock Drop: GTM fell $1.98 per share (approximately 33%) to $4.06 per share on May 12, 2026, after the company disclosed a sharp downward revision to its full-year 2026 revenue guidance, a 20% workforce reduction, and customer hesitation driven by "AI and agentic confusion."

● Class Period & Defendants: The class period runs from November 3, 2025 through May 11, 2026, inclusive. Named defendants include ZoomInfo Technologies Inc., Henry Schuck (Chief Executive Officer and Chairman of the Board), and M. Graham O'Brien (Chief Financial Officer).

● Lead Plaintiff Deadline: August 24, 2026. No action is required before the deadline to remain a potential class member. Action is only needed if you wish to seek appointment as lead plaintiff.

ZoomInfo Class Action Summary


Company	ZoomInfo Technologies Inc. (NASDAQ: GTM)
Lead Plaintiff Deadline	August 24, 2026
Class Period	November 3, 2025 – May 11, 2026
Stock Drop	May 12, 2026 – GTM fell $1.98 (approximately 33%) to $4.06

Introduction

A securities class action has been filed against ZoomInfo Technologies Inc. (NASDAQ: GTM). filed by Levi & Korsinsky, LLP on behalf of investors who purchased or otherwise acquired ZoomInfo (GTM) securities between November 3, 2025 and May 11, 2026.

The complaint alleges that ZoomInfo's executives made materially false and misleading statements. They allegedly touted strong revenue growth, AI product momentum, and improving customer retention. According to the complaint, the company was facing slowing demand and customers building their own AI tools.

The lawsuit claims the alleged truth emerged on May 11, 2026, when ZoomInfo slashed its 2026 guidance. The stock dropped about 33% the next day, falling from $6.04 to $4.06 per share. Multiple analysts cut their price targets after the announcement.

Company Profile

ZoomInfo Technologies Inc. provides a cloud-based go-to-market intelligence and engagement platform for sales, marketing, operations, and recruiting professionals. The company's platform offers workflow tools and data on organizations and professionals to help users identify target customers and engage prospects, serving customers in the United States and internationally.

Class Period

November 3, 2025 – May 11, 2026

Investors who purchased or acquired ZoomInfo Technologies (GTM) securities during the Class Period may be eligible to seek recovery under the federal securities laws.

Allegations

The complaint alleges that throughout the Class Period, ZoomInfo and its senior executives, CEO Henry Schuck and CFO M. Graham O'Brien, made materially false and misleading statements about the company's projected revenue outlook, the growth trajectory of its legacy and emerging AI-driven products, and the sustainability of improvements in net revenue retention. According to the complaint, defendants painted an overwhelmingly positive picture of ZoomInfo's business while concealing material adverse facts about deteriorating fundamentals.

Beginning with ZoomInfo's third quarter 2025 earnings announcement on November 3, 2025, defendants touted record revenue, accelerating upmarket momentum, and five consecutive quarters of improving net revenue retention. CEO Schuck declared that the company was "building the future of go-to-market" and expressed confidence that "it is only a matter of time before ZoomInfo will be synonymous with AI and go-to-market." CFO O'Brien highlighted that upmarket net retention had returned above 100% and that the company had achieved Rule of 40 status for the first time in six quarters. These themes were reinforced across multiple investor conferences in November and December 2025, where defendants emphasized that the Operations suite was growing over 20% year-over-year, that Copilot was driving mid-to-high single-digit retention uplift, and that new AI products like GTM Studio and GTM Workspace represented substantial growth opportunities.

On February 9, 2026, defendants issued fiscal year 2026 revenue guidance of $1.247 billion to $1.267 billion, representing approximately 1% annual growth. During the corresponding earnings call, Schuck stated that the company was "confident in our path ahead and in our ability to sustainably deliver revenue growth and industry-leading profitability," while O'Brien noted that Copilot penetration was on or ahead of schedule. These assurances were repeated at the Raymond James and Morgan Stanley conferences in early March 2026, where O'Brien reiterated that the Operations business was "our fastest-growing business at scale" with over $200 million in annual recurring revenue and that AI represented "a lot of opportunity" across nearly all scenarios.

According to the complaint, defendants knew or recklessly disregarded that ZoomInfo's optimistic growth narrative was undermined by slowing seat-based demand, weakening upsell opportunities, and a trend of customers either delaying AI product purchases or choosing to develop their own internal AI-driven go-to-market solutions. The complaint alleges that defendants minimized concerns that customers were moving toward consumption-based models and internal AI-driven go-to-market solutions, which allegedly made the company's full-year 2026 revenue guidance increasingly unlikely to be achieved.

The Truth Emerges

After the market closed on May 11, 2026, ZoomInfo reported its first quarter 2026 financial results and dramatically lowered its full-year 2026 revenue guidance from a range of $1.247 billion to $1.267 billion down to $1.185 billion to $1.205 billion, a reduction of approximately $62 million at each end of the range. CEO Schuck disclosed that the company had experienced "a regression in our downmarket and upmarket growth trajectories" and acknowledged that customers were pausing purchasing decisions amid what he described as "AI and agentic confusion," where companies struggled to determine what to build internally versus what to buy from vendors. The company simultaneously announced it was laying off 20% of its workforce and expected to incur $45 million to $60 million in restructuring costs.

During the accompanying earnings call, CFO O'Brien acknowledged that "the improving trends we have seen in 2025" had started to moderate and that "our growth progression was no longer on schedule." He conceded that while initial 2026 guidance had not anticipated new product tailwinds, "it also did not anticipate the environment getting worse." According to the complaint, these disclosures contrasted with defendants' prior assurances about durable growth, AI product adoption, and upmarket momentum. The complaint alleges that these disclosures revealed the same dynamics defendants had allegedly dismissed or minimized, including customers shifting away from seat licenses, building their own internal AI applications, and reducing software spending.

Market Reaction

The market responded swiftly and severely to ZoomInfo's revised outlook. On May 12, 2026, the trading day following the after-hours announcement, GTM shares fell from a closing price of $6.04 per share to $4.06 per share, a decline of approximately $1.98 per share, or about 33%. The complaint alleges that the decline followed disclosures concerning ZoomInfo's revised outlook and the risks allegedly omitted from defendants' prior statements.

Multiple analysts immediately cut their price targets. Mizuho Securities reduced its target by 27%, stating it was "skeptical that there is a clear path to returning to growth over the near-term." Canaccord Genuity slashed its target by 58%, noting that ZoomInfo needed to adapt as "buyer preferences are evolving." Piper Sandler cut its target by 34% and downgraded the stock to Underweight, citing "multiple headwinds" and additional execution risk from the transition to usage-based pricing.

Next Steps

● Lead Plaintiff Deadline: August 24, 2026

● After the lead plaintiff deadline, the Court will consider any lead plaintiff motions.

● Defendants may file a motion to dismiss.

● If the case proceeds, the Court may later consider class certification.

Disclaimer: This shareholder alert is for informational purposes only and does not constitute legal advice. Consult a qualified attorney for personalized guidance. No specific outcomes are guaranteed.

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Step 2 of 3

Certification of Plaintiff Pursuant to Federal Securities Laws

I, duly certify and say, as to the claims asserted under the federal securities laws, that:

I have reviewed a complaint filed in the action.
I did not purchase the security that is the subject of this action at the direction of plaintiff's counsel or in order to participate in this action.
I am willing to serve as a representative party on behalf of the class, including providing testimony at deposition and trial, if necessary.
My transaction(s) in ZoomInfo Technologies Inc. which are the subject of this litigation during the class period set forth in the complaint are set forth in the chart attached hereto.
Within the last 3 years,
I have not sought to serve nor have I served as a class representative in any federal securities fraud case. I have sought to serve as a class representative in
I will not accept any payment for serving as a representative party on behalf of the class beyond the Plaintiff's pro rata share of any recovery, except as ordered or approved by the court, including any award for reasonable costs and expenses (including lost wages) directly relating to the representation of the class.

Are you US Citizen?

Yes. I certify under penalty of perjury that the foregoing is true and correct. Executed this No. I certify under penalty of perjury under the laws of the United States of America that the foregoing is true and correct. Executed this

Clear

Signed pursuant to California Civil Code Section 1633.1, et seq. - and the Uniform Electronic Transactions Act as adopted by the various states and territories of the United States.

By your signature above, you confirm that have retained Levi & Korsinsky, LLP to represent you and the shareholder class as a lead plaintiff in the pending class action against ZoomInfo Technologies Inc. This representation will be on a contingency basis, meaning that Levi & Korsinsky will advance all expenses in the litigation and will only seek compensation and/or reimbursement of expenses if the firm obtains a recovery. Regardless of the result, we will never ask you to directly pay for any attorneys’ fees, expenses, or costs. Should we obtain a favorable result, we may ask the court to award us compensation and reimbursement of expenses to be paid by the defendants or as a portion of any class recovery. In exchange for our representation, you agree to cooperate as our client by providing, for example, relevant documents and deposition testimony, if necessary. During the course of this litigation, we may employ and/or work with other law firms, experts, and third-parties to successfully prosecute this action. If you are not appointed as the lead plaintiff or Levi & Korsinsky is not appointed as lead counsel, we will notify you of such decision at which time this representation will end unless otherwise extended by you and the firm. We look forward to working with you towards a successful resolution of this action.

I have reviewed the complaint linked in paragraph 1