Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in Ubiquiti Networks (NASDAQ: UBNT) in connection to alleged violations of securities laws by UBNT. Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments made in Ubiquiti Networks from May 9, 2013 until February 20, 2018.
The class action complaint specifically alleges that during the period in question, UBNT might have provided false and/or misleading material information, and/or failed to disclose adverse material information, chiefly: that substantial overstatements were made regarding the size of the company’s community of users; that exaggerations were made regarding the company’s publicly disclosed accounts receivable figures; that consequently the company’s publicly reported financial statements were false and/or misleading during the relevant period. The research organization Citron Research published a report under the title “Cintron Exposes Ubiquiti Networks” on September 18, 2017, covering a number of “alarming red flags” suggesting that Ubiquiti may have been deceiving its investors and committing fraud via the misrepresentation of its community and accounts receivable. When the company filed a form 8-K document with the Securities and Exchange Commission on February 20, 2018, disclosing, among other things, that it had received subpoenas from the SEC, the company’s stock price fell by more than 25%, closing at $55.28 on that day. The complaint alleges that when true details emerged, investors suffered losses.
According to the company’s website, Ubiquiti Networks is a technology company focused on “3 main products and services: high-capacity distributed Internet access, unified information technology, and next-gen consumer electronics for home and personal use.” The company trades on the Nasdaq exchange under the symbol UBNT.
A class action lawsuit has already been filed in connection with Ubiquiti Networks. If you wish to serve as lead plaintiff in the UBNT lawsuit, you must move the Court no later than April 23, 2018. If you wish to join the litigation, please contact Marc Fitapelli at 212-658-1501 or Jonathan Kurta at 212-658-1502. There is no cost or obligation to you and your ability to share in any recovery does not require that you serve as a lead plaintiff.