Robbins LLP announced on November 3, 2026 that a securities class action complaint has been filed on behalf of investors who purchased Coastal Financial Corporation (NASDAQ:CCB) common stock between October 28, 2024 and July 29, 2026, inclusive.

Key Highlights

  • Class Period: The complaint covers purchasers of CCB common stock from October 28, 2024 through July 29, 2026, inclusive.
  • Lead Plaintiff Deadline: Investors who wish to seek appointment as lead plaintiff must act before December 1, 2026, according to the announcement.
  • Reported Net Loss: Coastal Financial reported a GAAP net loss of $42.1 million for the second quarter of 2026, according to the complaint.
  • Single Partner Credit Expense: The complaint alleges a $68.8 million credit expense was tied to a single CCBX partner relationship, consisting of a $48 million valuation adjustment and a $22.8 million provision for credit losses.
  • Affected Portfolio: The complaint states the affected portfolio comprised approximately $500 million in underlying loans, representing nearly 23% of all CCBX loans.
  • Stock Price Decline: Coastal's common stock fell $30.75 per share on July 30, 2026, reportedly erasing approximately $470 million in market capitalization.

Allegations Against Coastal Financial and Its CCBX Segment

Coastal Financial Corporation is described in the filing as a registered bank holding company whose wholly owned subsidiaries include Coastal Community Bank. A significant portion of the company's business involves its CCBX segment, which operates through partnerships with third-party financial technology firms and carries a substantial partner loan portfolio. According to the complaint, during the class period defendants made statements about the growth and credit quality of the CCBX business, the adequacy of the company's risk management and credit reporting practices, and the protections afforded by CCBX partner indemnification agreements.

The complaint alleges that while those statements were being made, Coastal failed to disclose that the credit quality of a CCBX partner loan portfolio comprising approximately $500 million in loans and nearly 23% of all CCBX loans had materially deteriorated, exposing the company to significant losses. On July 30, 2026, Coastal announced its second quarter 2026 financial results and held an earnings call. The complaint notes that defendants acknowledged on that call that the quarter included, in their words, "significant and unusual items that warrant a direct explanation." The reported GAAP net loss of $42.1 million was driven primarily by the $68.8 million credit expense attributed to a single CCBX partner relationship, which itself consisted of a $48 million valuation adjustment to a credit enhancement asset and a $22.8 million provision for credit losses tied to the partner's indemnification obligations.

The filing states that following this disclosure, Coastal's common stock fell $30.75 per share on July 30, 2026, which the announcement characterizes as erasing approximately $470 million in market capitalization. Robbins LLP, the law firm behind the announcement, states it represents investors on a contingency fee basis, meaning participation carries no upfront cost for absent class members. The firm is not required to be retained by investors who choose to remain absent class members rather than seek lead plaintiff status.

What Was Disclosed

A shareholder rights law firm announced the filing of a securities class action against Coastal Financial Corporation, alleging misstatements about its CCBX segment's credit quality and risk management. The lead plaintiff deadline is December 1, 2026, and the complaint covers the period from October 28, 2024 through July 29, 2026.