Kuznicki Law PLLC notifies investors that a class action has commenced in the United States District Court for the Eastern District of New York on behalf of shareholders of Splunk Inc. who purchased shares between October 21, 2020 and December 2, 2020.
Splunk and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
On December 2, 2020, post-market, the Company disclosed disappointing financial results for 3Q2021 ended October 31, 2020 including total revenues of $559 million, down 11% year-over-year and which missed estimates by nearly $60 million, a loss of 7 cents per share versus an expected gain of 8 cents per share, and a lower than expected forecast for 4Q2021, leading numerous analysts to downgrade the stock and cut their price targets.
On this news, the price of Splunk’s shares plummeted over 23% in one trading day from their December 2, 2020 closing price, representing billions of dollars in lost market capitalization.
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 February 2, 2021 to request that the court appoint them lead plaintiff.