19.  Molina is a Long Beach, California-based managed care company that  derives premium revenues from thirteen state health plans and a health plan in the  Commonwealth of Puerto Rico.  Molina has three reportable segments: Health  Plans, including Molina’s various HMOs; Molina Medicaid Solutions (“MMS”),  which provides business processing, information technology (“IT”) development,  and administrative services solutions to state Medicaid agencies; and Other, which  consists primarily of Molina’s behavioral health and social services subsidiary,  Pathways.  Molina’s Health Plans segment accounted for 96.07, 96.87, and 98.40  percent of Molina’s 2015, 2016, and 2017 revenues, respectively.   20.  As early as 2012, Molina indicated that the Company would soon  double its revenue.  Molina also said that much of that growth would stream from  ACA Health Exchanges.  To prepare for that growth, Molina invested large  amounts of capital expenditures (“CapEx”) into its administrative infrastructure,  including personnel, processes, and technology.   62.  During the Class Period, as alleged herein, the Individual Defendants  acted with scienter in that the Individual Defendants knew or were reckless as to  whether the public documents and statements issued or disseminated in the name  of the Company during the Class Period were materially false and misleading;  knew or were reckless as to whether such statements or documents would be issued  or disseminated to the investing public; and knowingly and substantially  participated or acquiesced in the issuance or dissemination of such statements or  documents as primary violations of the federal securities laws.   63.  The Individual Defendants permitted Molina to release these false and  misleading statements and failed to file the necessary corrective disclosures, which  artificially inflated the value of the Company’s common stock.   78.  Plaintiff repeats and realleges each and every allegation contained in  the foregoing paragraphs as if fully set forth herein.   79.  During the Class Period, Defendants disseminated or approved the  false statements specified above, which they knew or recklessly disregarded were  misleading in that they contained misrepresentations and failed to disclose material  facts necessary in order to make the statements made, in light of the circumstances  under which they were made, not misleading.   80.  Defendants violated Section 10(b) of the Exchange Act and Rule 10b- 5 in that they:  (a)  Employed devices, schemes, and artifices to defraud;  (b)  Made untrue statements of material facts or omitted to state  material facts necessary in order to make the statements made, in light of the  circumstances under which they were made, not misleading; or  (c)  Engaged in acts, practices, and a course of business that  operated as a fraud or deceit upon Plaintiff and others similarly situated in  connection with their purchases of Molina common stock during the Class Period.   83.  Plaintiff repeats and realleges each and every allegation contained in  the foregoing paragraphs as if fully set forth herein.   84.  The Individual Defendants acted as controlling persons of Molina  within the meaning of Section 20(a) of the Exchange Act.  By virtue of their  positions and their power to control public statements about Molina, the Individual  Defendants had the power and ability to control the actions of Molina and its  employees.  By reason of such conduct, Defendants are liable pursuant to Section  20(a) of the Exchange Act.  Background   For Violation of Section 20(a) of the Exchange Act  Against the Individual Defendants   For Violation of Section 10(b) of the Exchange Act  and Rule 10b-5 Against All Defendants  