NEW YORK, Aug. 10, 2018 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed against Helios and Matheson Analytics Inc. (“Helios and Matheson” or the “Company”) (NASDAQ: HMNY) in the United States District Court for the Southern District of New York on behalf of a class consisting of investors who purchased or otherwise acquired Helios and Matheson securities on the open market from August 15, 2017 and July 26, 2018, inclusive (the “Class Period”), seeking to recover compensable damages caused by Defendants’ alleged violations of the Securities Exchange Act of 1934.
The Complaint alleges that the Company made false and misleading statements to the market in connection with the Company’s promotion of the future profitability and high valuation of MoviePass. The Complaint alleges that the MoviePass business model could not be sustained and that the Company would run out of capital. Therefore, the Complaint alleges that , the Company’s public statements about its business prospects and operations were materially false and misleading during the class period. When the market learned the truth about Helios and Matheson, the price of the Company’s stock dropped, causing investors to suffer damages.
The Complaint also alleges that throughout the Class Period, the Company made other materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, the Complaint alleges that the Company made false and/or misleading statements and/or failed to disclose that: (1) the Company’s sales claims and the supposed underlying proprietary techniques lacked a verifiable basis and (2) as a result, the Company’s public statements were materially false and misleading at all relevant times.
Investors who purchased or otherwise acquired shares during the Class Period should contact the Firm prior to the October 1, 2018 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.
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