RM LAW, P.C. announces that a class action lawsuit has been filed on behalf of all persons or entities that purchased GoPro, Inc. (NASDAQ: GPRO) (“GoPro” or the “Company”) securities between November 2, 2017 and January 5, 2018, inclusive (the “Class Period”).
GoPro shareholders may, no later than March 12, 2018, move the Court for appointment as a lead plaintiff of the Class. If you purchased shares of GoPro and would like to learn more about these claims or if you wish to discuss these matters and have any questions concerning this announcement or your rights, contact Richard A. Maniskas, Esquire toll-free at (844) 291-9299 or to sign up online, click here.
GoPro develops and sells mountable and wearable cameras and accessories. During the Class Period, GoPro’s product offerings included “Karma,” a premium remote controlled drone that retailed for $799.
On November 1, 2017, GoPro held an earnings conference call with investors and financial analysts to discuss the Company’s financial results. During that call, GoPro’s Chief Executive Officer (“CEO”) represented to investors that “the consumer feedback to Karma specifically, actual owners of Karma has been quite good, and so we’re feeling really good about our prospects in the future there.”
The shareholder class action complaint alleges that, throughout the Class Period, GoPro and certain of its senior executive officers made false and misleading statements and/or failed to disclose that: (i) the market prospects for Karma were untenable due to margin challenges in an extremely competitive aerial market and a hostile regulatory environment in Europe and the United States; and (ii) as a result, defendants’ public statements were materially false and misleading at all relevant times.
On January 8, 2018, GoPro disclosed, among other things: (i) that it was reducing its global workforce by approximately 20%; (ii) that, due to “margin challenges in an extremely competitive aerial market,” the Company would be exiting the aerial market after selling its remaining Karma inventory; and (iii) that the Company would incur an estimated $23 – 33 million in restructuring charges.
Following this news, shares of GoPro’s stock fell $0.96 per share, or over 12.7%, to close on January 8, 2018 at $6.56 per share, on heavy trading volume.
If you are a member of the class, you may, no later than March 12, 2018, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as “lead plaintiff.” Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain RM LAW, P.C. or other counsel of your choice, to serve as your counsel in this action.