Kuznicki Law PLLC notifies investors that a class action has commenced in the United States District Court for the Northern District of Illinois on behalf of shareholders of Grubhub Inc. who purchased shares between July 30, 2019 and October 28, 2019.
Grubhub and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
On October 28, 2019, the Company disclosed shocking 3Q2019 financial results, including a $100M loss in gross food sales on a sequential basis (despite adding nearly a million active diners during the quarter), a 6% decline in a key customer demand metric and cuts to revenue projections by approximately $70M and earnings projections by approximately $60M for the year.
On this news, the price of Grubhub’s shares plummeted.
If you wish to choose counsel to represent you and the class, you must apply to be appointed lead plaintiff and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement for the class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the respective securities during the class periods. Members of the class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. No class has yet been certified in the above action. Appointment as Lead Plaintiff is not required to partake in any recovery.
Shareholders have until January 21, 2020 to request that the court appoint them lead plaintiff.