A lawsuit was filed on behalf of investors in GoPro Inc (NASDAQ:GPRO) shares over alleged securities laws violations.
San Diego, CA -- (SBWIRE) -- 01/22/2018 -- An investor, who purchased shares of GoPro Inc (NASDAQ:GPRO), filed a lawsuit i over alleged violations of Federal Securities Laws by GoPro Inc in connection with certain allegedly false and misleading statements.
Investors who purchased shares of GoPro Inc (NASDAQ:GPRO) have certain options and for certain investors are short and strict deadlines running. Deadline: March 11, 2018. NASDAQ:GPRO investors should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 - 1554.
On January 8, 2018, before the market opened, GoPro Inc announced its fourth quarter 2017 financial results, disclosing that GoPro had achieved sales of just $340 million instead of the $470 million in sales defendants had led analysts and the market to expect. GoPro blamed the results on the slashing of prices for its HERO6 Black, HERO5 Black and HERO5 Session cameras, as well as its Karma drone, which the Company had been forced to engage in to move inventory and which had a negative $80 million impact on revenues. GoPro also disclosed it was cutting more than one-fifth of its workforce and exiting the drone market altogether, requiring it to dump the rest of its Karma drone inventory.
The plaintiff claims that between August 4, 2017 and January 5, 2018, the defendants failed disclose that demand for the GoPro brand had dramatically declined and retailers were not stocking up for the 2017 holiday sales season to the extent GoPro had budgeted for, that demand for GoPro's Karma drones was so weak the Company could no longer afford to manufacture the drones profitably, that GoPro would be forced to slash the prices on some of its best-selling products, and that, as a consequence, GoPro was not on track to achieve the financial results it had led the market to expect between August 4, 2017 and January 5, 2018, and that as a result of defendants' false and misleading statements and/or omissions, the price of GoPro stock was artificially inflated between August 4, 2017 and January 5, 2018, reaching a high of more than $11.80 per share, and allowing certain of the Company's senior executives to sell their personally owned GoPro shares at artificially inflated prices, including GoPro's CEO and CFO, who collectively sold more than $6.5 million worth of GoPro stock in November 2017.
Those who purchased shares of GoPro Inc (NASDAQ:GPRO) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego