Law firm investigates Upwork for possible securities fraud after Q1 client decline and stock drop.

Pomerantz LLP is investigating Upwork Inc. for potential securities fraud following the company's Q1 2026 report, which showed a decline in active clients and flat gross service volume. Upwork attributed the drop in smaller contracts to accelerated AI adoption, causing its stock to fall nearly 17%. The investigation will determine if Upwork and its executives engaged in unlawful business practices. Investors affected may join a class action lawsuit as the case develops.