SAN DIEGO, Aug. 16, 2024 (GLOBE NEWSWIRE) — Robbins LLP informs investors that a shareholder filed a class action on behalf of all persons and entities that purchased or otherwise acquired Symbotic Inc. (NASDAQ: SYM) securities between May 6, 2024 and July 29, 2024. SYM develops, implements, and operates end-to-end supply chain automation technology in the United States and Canada.
For more information, submit a form, email attorney Aaron Dumas, Jr., or give us a call at (800) 350-6003.
The Allegations: Robbins LLP is Investigating Allegations that Symbotic Inc. (SYM) Misled Investors Regarding its Projected Earnings Outlook
According to the complaint, defendants provided investors with material information concerning SYM’s expected earnings for the third quarter of fiscal year 2024. Defendants’ statements included, among other things, confidence in the Company’s projected earnings outlook on the back of stable gross margins due to their efforts to decrease costs related to slow deployment times and further accelerate deployment cycles. At the same time, defendants concealed material adverse facts concerning the true state of SYM’s potential for margin growth in the third quarter; notably, that the Company was not truly equipped to timely deploy their systems or otherwise appropriately manage expenses through project delays. Such statements absent these material facts caused shareholders to purchase SYM’s securities at artificially inflated prices.
Plaintiff alleges that on July 29, 2024, SYM published their third quarter fiscal year 2024 results, which failed to meet projections due to below-expectation gross margins. Specifically, the Company’s third quarter adjusted EBITDA of $15 million missed their prior guide by $13 million at the midpoint, a reduction of more than 46.4%. As a result, defendants provided fourth quarter fiscal year 2024 guidance that was well-below market expectations. On this news, the price of SYM’s common stock fell over 23%, to close at $27.25 on July 30, 2024.
What Now: You may be eligible to participate in the class action against Symbotic Inc. Shareholders who want to serve as lead plaintiff for the class must file their papers with the court by October 15, 2024. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member. For more information, click here.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.
About Robbins LLP: Some law firms issuing releases about this matter do not actually litigate securities class actions; Robbins LLP does. A recognized leader in shareholder rights litigation, the attorneys and staff of Robbins LLP have been dedicated to helping shareholders recover losses, improve corporate governance structures, and hold company executives accountable for their wrongdoing since 2002. Since our inception, we have obtained over $1 billion for shareholders.
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