SAN FRANCISCO,Sept. 2, 2021/PRNewswire/ --Hagens Berman urges HyreCar Inc. (NASDAQ: HYRE) investors with significant losses to submit your losses now.

Class Period:May 14, 2021-Aug. 10, 2021

Lead Plaintiff Deadline:Oct. 26, 2021

Visit:www.hbsslaw.com/investor-fraud/HYRE

Contact An Attorney Now:[email protected]

844-916-0895

HyreCar Inc. (HYRE) Securities Fraud Class Action:

The complaint alleges that throughout the Class Period, Defendants falsely touted HyreCar's competitive advantage with its "unique" commercial automobile insurance policy. Defendants also deceptively claimed the company's insurance program "enables us to keep insurance costs and liability low" and that its insurance reserves were accurate. In addition, Defendants told investors the company tested then enacted "price enhancements," that they claimed would drive significant net revenue and gross margin improvements through 2021 to achieve the company's near-term gross margin goal of 45-50%.

In reality, Defendants had (1) materially understated HyreCar's insurance reserves, (2) systematically did not pay valid insurance claims incurred before the Class Period, (3) incurred significant expenses transitioning to its new third-party insurance claims administrator, and (4) did not appropriately price risk in its insurance products and, as a result, experienced elevated claims.

The truth emerged onAug. 10, 2021, when HyreCar reported deeply disappointing Q2 2021 net losses of$9.3mm compared to net losses of$3.8mm in the prior year period and a gross profit margin of just 24%, nowhere near the 45-50% near-term goal. The company blamed these results on additional insurance claims of$2.8mm and incidental payments incurredbeforeMarch 31, 2021in excess of the reserves and accruals. The new CFO called the 45-50% margin goal a "shoot for the sky" and sharply trimmed it.

On this news, the price of HyreCar stock fellnearly 50%in a single day to close at$9.85per share onAug. 11, 2021, on abnormally high volume.

"We're focused on investors' losses and proving HyreCar misrepresented the adequacy of its insurance reserves," saidReed Kathrein, the Hagens Berman partner leading the investigation.

If you invested in HyreCar and have significant losses, or have knowledge that may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.

Whistleblowers:Persons with non-public information regarding HyreCar should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, callReed Kathreinat844-916-0895or email mailto:[email protected].

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Contact:

Reed Kathrein, 844-916-0895

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