LOS ANGELES, Dec. 16, 2019 (GLOBE NEWSWIRE) -- Glancy Prongay & Murray LLP (“GPM”) reminds investors of the upcoming December 23, 2019 deadline to file a lead plaintiff motion in the class action filed on behalf of iRobot Corporation (“iRobot” or the “Company”) (NASDAQ: IRBT) investors who purchased securities between November 21, 2016 and October 22, 2019, inclusive (the “Class Period”).
If you are a shareholder who suffered a loss, click here to participate.
If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Lesley Portnoy, Esquire, at 310-201-9150, Toll-Free at 888-773-9224, or by email to shareholders@glancylaw.com, or visit our website at www.glancylaw.com.
On April 23, 2019, after the market closed, the Company announced quarterly revenues that were below analyst expectations and disclosed increased inventory levels of 140 days in inventory (“DII”), compared to 101 DII the prior year period.
On this news, the Company’s share price fell $30.15, or over 23%, to close at $100.42 per share on April 24, 2019, thereby injuring investors.
Then, on July 23, 2019, after the market closed, the Company lowered its full-year guidance, expecting revenue between $1.2 billion and $1.25 billion, from prior guidance between $1.28 billion and $1.31 billion.
On this news, the Company’s share price fell $15.12, or nearly 17%, to close at $74.51 per share on July 24, 2019, thereby injuring investors further.
On October 22, 2019, after the market closed, the Company lowered the high-end of its full-year revenue guidance from $1.25 billion to $1.21 billion, due to its rollback of price increases after a “suboptimal” customer response. iRobot also reported increased inventory levels of $248 million or 149 DII, compared the prior year period of $161 million or 113 DII.
On this news, the Company’s share price fell $4.97, or over 9%, to close at $49.06 per share on October 23, 2019, thereby injuring investors further.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that iRobot's explosive growth was not based on increased demand, expanding margins, and product innovations, as it claimed, but rather based on channel stuffing; (2) that the Company attempted to conceal its actions by acquiring its distributors in Europe and Asia; (3) that these acquisitions were designed to clean up the company's global inventory and mask falling demand; and (4) that, as a result, defendants’ statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times.
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If you purchased or otherwise acquired iRobot securities during the Class Period, you may move the Court no later than December 23, 2019 to request appointment as lead plaintiff in this putative class action lawsuit. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, please contact Lesley Portnoy, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles, California 90067 at 310-201-9150, Toll-Free at 888-773-9224, by email to shareholders@glancylaw.com, or visit our website at www.glancylaw.com. If you inquire by email please include your mailing address, telephone number and number of shares purchased.
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Contacts
Glancy Prongay & Murray LLP, Los Angeles
Lesley Portnoy, 310-201-9150 or 888-773-9224
shareholders@glancylaw.com
www.glancylaw.com