An investigation on behalf of current long term investors in NASDAQ:LPLA shares over possible breaches of fiduciary duty by certain officers and directors was announced and NASDAQ:LPLA stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 05/03/2016 -- An investigation on behalf of current long-term investors in shares of LPL Financial Holdings Inc (NASDAQ:LPLA) concerning potential breaches of fiduciary duties by certain directors was announced.
Investors who are current long term investors in LPL Financial Holdings Inc (NASDAQ:LPLA) shares, have certain options and should contact the Shareholders Foundation at email@example.com or call +1(858) 779 - 1554.
The investigation by a law firm for current long term investors in NASDAQ:LPLA stocks follows a lawsuit filed recently against LPL Financial Holdings Inc over alleged securities laws violations. The investigation on behalf of current long term investors in NASDAQ:LPLA stocks, concerns whether certain LPL Financial Holdings directors are liable in connection with the allegations made in that lawsuit.
According to that complaint filed in the U.S. District Court for the Southern District of California the plaintiff alleges that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between December 8, 2015 and February 11, 2016 defendants issued false and misleading statements and/or failed to disclose adverse information regarding LPL Financial Holdings' business and prospects, including that LPL Financial Holdings' earnings and revenue were not steady, but were substantially declining, that LPL Financial Holdings' client assets were not in the midst of a recovery, but were actually deteriorating and would decline by billions of dollars, and that LPL Financial Holdings' gross profits would not decline "slightly," but significantly, and LPL Financial Holdings Inc would in fact experience its worst sequential gross profit decline in four years.
The plaintiff says that as a result of defendants' false statements and/or omissions, LPL Financial Holdings Inc common stock traded at artificially inflated prices between December 8, 2015 and February 11, 2016, reaching a high of $45.06 per share on December 8, 2015.
On December 10, 2015, LPL Financial Holdings Inc announced the early completion of its accelerated share repurchase program. TPG Capital sold 4.3 million shares of LPL Financial Holdings Inc common stock at $43.27 per share for approximately $187 million in proceeds.
On February 11, 2016, LPL Financial Holdings Inc announced its fourth quarter and full year 2015 financial results, including adjusted earnings per share of $0.37 per share.
The plaintiff claims that the earnings per share were well below consensus analyst estimates of $0.51 per share and that LPL Financial Holdings Inc also revealed disappointing revenues, primarily as a result of dramatically lower commission revenues and revenues from alternative investments, as well as higher-than-expected expenses for the quarter. Shares of LPL Financial Holdings Inc (NASDAQ:LPLA) declined to as low as $15.38 per share on February 11, 2016.
Those who purchased shares of LPL Financial Holdings Inc have certain options and should contact the Shareholders Foundation.
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