PACS Group (PACS) Stock Soars as Company Pledges to Clear SEC Filing Backlog by November 19, 2025

PACS Group (NYSE: PACS) jumps more than 40–50% after announcing plans to file all overdue SEC reports and release Q3 2025 earnings on November 19, easing delisting and default fears for the nursing-home giant.

Shares of PACS Group, Inc. (NYSE: PACS) exploded higher on Monday after the post‑acute care operator said it will finally clear a months‑long SEC reporting backlog this week, a move seen as critical to keeping its New York Stock Exchange listing and stabilizing its financing.

By late morning, PACS stock was trading around $15.90, up roughly 50% on the day and rebounding from a bruising slide over the past week. ^[1] The rally followed a fresh Business Wire press release and accompanying Form 12b‑25 filing in which the company pledged to file all outstanding annual and quarterly reports through September 30, 2025 — including Q3 2025 results — on Wednesday, November 19, 2025. ^[2]

What PACS Group Announced Today

In a statement issued Monday morning, PACS Group said it intends to:

Release Q3 2025 earnings on November 19, 2025.
File all outstanding periodic SEC reports through September 30, 2025, including previously delayed 10‑Qs and its 2024 10‑K, alongside restated 2024 interim results. ^[3]
Host an earnings conference call on November 19 at 5:30 p.m. ET to discuss the filings and results. ^[4]

The company also confirmed that it has filed an NT 10‑Q (Form 12b‑25) for its Q3 2025 report, formally notifying the SEC that it could not file on time and is relying on the standard five‑day extension. In that document, PACS reiterated its plan to file: ^[5]

The Q3 2025 Form 10‑Q,
Its Q3 2024 10‑Q,
Its FY 2024 Form 10‑K,
The Q1 2025 and Q2 2025 10‑Qs,
Along with restated Q1 and Q2 2024 financials.

The delay stems from an ongoing audit committee investigation and a previously announced restatement of 2024 revenue tied to Medicare Part B respiratory and therapy services, which PACS now says was overstated by an estimated $61–65 million across the first two quarters of 2024. ^[6]

For investors and regulators, November 19 is now a hard deadline:

The NYSE previously granted PACS a listing extension through November 19, 2025, explicitly tying continued trading to the company becoming current on its SEC filings. ^[7]

Today’s announcement is therefore positioned as the company’s attempt to meet that final NYSE timeline and remove the delisting threat that has hung over the stock for nearly a year.

Market Reaction: PACS Stock Rockets Higher

The market wasted no time in reacting.

As of around 10:39 a.m. ET, PACS shares were up about 50% to $15.90, versus a prior close of $10.58, on heavy volume of more than 4.3 million shares. ^[8]
Investing.com noted that the stock initially surged roughly 30% once headlines hit that PACS would file all outstanding SEC reports this week. ^[9]
The move comes after the shares had fallen more than 15% over the past week, leaving the stock in technically “oversold” territory before today’s rally. ^[10]

A MarketMinute recap described the sharp gain as a “skyrocket” driven by relief that PACS has laid out a concrete path back to reporting compliance, following months of uncertainty over its financial statements and exchange status. ^[11]

Despite today’s jump, PACS still trades well below its April 2024 IPO price of $21 per share. ^[12] According to stock‑research platform StockAnalysis, four covering analysts currently rate PACS “Buy” with an average 12‑month price target of $26.25, implying further upside from current levels if the company successfully normalizes its reporting and operations. ^[13]

This article is for information only and does not constitute investment advice.

How PACS Got Here: Restatements, Delisting Risk and Forbearance

Today’s relief rally is the latest chapter in a difficult year‑and‑a‑half for PACS Group, which operates one of the largest skilled‑nursing and post‑acute care platforms in the United States.

Revenue Restatement and SEC Scrutiny

In June 2025, PACS announced it would restate its Q1 and Q2 2024 financial statements, after concluding that revenue from certain respiratory and other therapy services billed under Medicare Part B should not have been recognized at all in those periods. The company estimated revenue was overstated by $15–17 million in Q1 2024 and $46–48 million in Q2 2024. ^[14]

That decision followed a third‑party allegation and an in‑depth audit committee investigation into the company’s billing and compliance practices. While the committee reported no basis to question the integrity of key executives at that time, the restatement forced PACS to pause subsequent filings as management reassessed controls, revenue recognition and regulatory compliance. ^[15]

NYSE Listing Extension and “Drop‑Dead” Date

The delayed filings triggered an initial NYSE delinquency notice in late 2024. In September 2025, the NYSE Listing Operations Committee gave PACS a final extension to November 19, 2025, explicitly requiring the company to: ^[16]

Complete its restatements,
File all past‑due quarterly and annual reports,
And restore current SEC reporting in order to regain full listing compliance.

In that September press release, PACS also previewed strong business trends, saying it expected to report record revenue and adjusted EBITDA for the first half of 2025 once financials are finalized. It highlighted: ^[17]

Net addition of 96 healthcare facilities since Q2 2024,
316 operated facilities across 17 states as of June 30, 2025,
Occupancy of 88.9%, well above an estimated industry average around 78%,
Cash and cash equivalents of $294.2 million as of June 30, 2025, up from $157.7 million at year‑end 2024.

Those preliminary operational metrics have been a key argument for bullish investors who view PACS’s issues as primarily reporting and governance related, rather than a sign of collapsing fundamentals.

Forbearance Agreements with Lenders and Landlords

On the financing side, PACS has been operating under a forbearance agreement with lenders led by Truist Bank and with major landlords under its master lease arrangements.

The original agreement, signed in August 2025, addressed events of default under PACS’s credit agreement and gave lenders time‑limited forbearance while the company worked through its governance and reporting problems. ^[18]
On October 30, 2025, Truist and participating lenders extended that forbearance through November 30, 2025, and key landlords under an Omega master lease agreed to mirror that date. ^[19]

That extension is designed to give PACS breathing room to meet SEC and NYSE obligations by November 19, then renegotiate or normalize its financing once its filings are current. ^[20]

Governance Shake‑Ups and Compliance Overhaul

PACS’s reporting issues have been accompanied by significant leadership changes and intensifying legal scrutiny.

CFO Resignation Over “High‑Value Gifts”

In September 2025, Healthcare Dive reported that PACS’s then‑CFO Derick Apt resigned after the board requested his departure, following findings that he had accepted a “series of high‑value items” from business partners. The company said it discovered the conduct during a broader review of billing practices. ^[21]

Co‑founder and vice chair Mark Hancock — who had served as CFO from 2013 until early 2024 — returned as interim CFO. ^[22]
Earlier, PACS’s president had also resigned amid increased scrutiny of its practices and financial controls, according to filings referenced in that coverage. ^[23]

Compliance Upgrades and New Interim CCO

PACS has also launched a broad regulatory compliance overhaul:

The company appointed a new interim Chief Compliance Officer, Kathy Lauer, tasked with enhancing controls and oversight as part of the audit committee’s investigation. ^[24]
Management says it is implementing new processes and controls around Medicare billing, internal reporting and regulatory compliance, with a focus on preventing a repeat of the 2024 revenue‑recognition issues. ^[25]

Shareholder Investigations and Class Actions

PACS’s prolonged restatement and reporting delays have drawn the attention of securities law firms and investor advocates:

Multiple firms announced investigations into whether PACS misled investors or breached fiduciary duties, particularly following the June restatement news. ^[26]
A class‑action lawsuit was filed earlier in 2025, with at least one firm highlighting November 17, 2025 as a key lead‑plaintiff deadline for certain investors. ^[27]

Those cases remain an overhang for the stock and could influence how the market interprets PACS’s forthcoming restated numbers.

Underlying Business: A Giant in Post‑Acute Care

Despite its governance and reporting troubles, PACS still operates at significant scale in a sector with strong demographic tailwinds.

According to company and regulatory filings, PACS:

Runs around 316–320 post‑acute and senior living facilities across 17 states,
Serves over 30,000 patients and residents daily,
Employs tens of thousands of staff across its independently operated subsidiaries. ^[28]

The company positions itself as a decentralized operator that empowers local facility leaders while providing centralized support, technology and back‑office services — a model similar to sector peers like Ensign Group. ^[29]

Preliminary metrics released in September suggested: ^[30]

Nearly 65% of skilled‑nursing facilities achieved 4‑ or 5‑star CMS quality ratings,
“Mature” facilities running at more than 95% occupancy,
Strong cash reserves to fund growth and acquisitions.

If November 19 filings confirm those trends without major new surprises, some analysts expect the focus to shift back toward PACS’s growth strategy, margin profile and acquisition pipeline rather than its accounting history.

What to Watch on November 19

With the clock ticking toward Wednesday’s filings and earnings call, here are the key questions investors, creditors and regulators are likely to ask:

1. Scope of Restatement and 2024/2025 Performance

How much do the final restated 2024 numbers differ from the preliminary ranges disclosed in June? ^[31]
Do 2024 and early‑2025 results still support management’s claim of record revenue and Adjusted EBITDA for the first half of 2025? ^[32]

2. Liquidity, Covenants and Forbearance Path

After months of delays and forbearance, what does PACS’s cash balance, leverage and covenant headroom look like post‑filing?
Does the company expect the forbearance period (currently extended to November 30, 2025) to be replaced by a more normalized credit agreement, or further amendments? ^[33]

3. NYSE Compliance and SEC Dialogue

Does management believe it will fully meet NYSE requirements by November 19, avoiding delisting? ^[34]
Are there any ongoing or expected enforcement actions or comment letters from the SEC beyond the restatement and late‑filing process?

4. Legal and Governance Risks

How is PACS addressing ongoing shareholder litigation and law‑firm investigations? ^[35]
Will there be further leadership changes, board refreshes or governance reforms following the CFO and president departures? ^[36]

5. Operational Outlook

What are the occupancy, payer‑mix and margin trends across PACS’s 300‑plus facilities heading into 2026?
Is the company planning to resume or accelerate acquisitions now that reporting is expected to be current? ^[37]

Key Takeaways for PACS Watchers

Today’s news is about transparency, not yet results. PACS hasn’t reported new earnings figures; it has promised a date to deliver them — and to finally clean up its filing backlog. ^[38]
The stock reaction is huge. A one‑day move of around 50% shows just how heavily the market had discounted PACS for delisting and default risk, and how much is riding on Wednesday’s follow‑through. ^[39]
November 19 is a make‑or‑break catalyst. Meeting the NYSE and forbearance timelines could stabilize PACS’s capital structure; failure to do so would reignite delisting and credit concerns. ^[40]
Underlying operations appear solid — on paper. Preliminary occupancy and quality metrics look strong, but investors will want fully audited numbers before treating PACS like a “normal” healthcare stock again. ^[41]

For now, PACS Group has bought itself something it hasn’t had in months: the benefit of the doubt. Whether that turns today’s relief rally into a durable recovery will depend on what the company delivers — in black and white — on November 19.

My Take: PACS Group's Forbearance & Executive Shift