PHILADELPHIA, June 19, 2019 (GLOBE NEWSWIRE) -- Kehoe Law Firm, P.C. announces that a class action lawsuit was recently filed in United States District Court for the Northern District of California, on behalf of persons and entities that purchased, or otherwise acquired, Box, Inc. (NYSE: BOX) (“Box” or the “Company”) securities between November 28, 2018 and June 3, 2019, inclusive (the “Class Period”). The Plaintiff is pursuing claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.
Box investors have until August 5, 2019 to move the Court to serve as lead plaintiff in the securities class action lawsuit. If you are a Box shareholder who has suffered losses, please click Join a Securities Class Action to participate in the class action lawsuit or contact either John Kehoe, Esq., (215) 792-6676, Ext. 801, jkehoe@kehoelawfirm.com or Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, myarnoff@kehoelawfirm.com, info@kehoelawfirm.com.
According to the class action complaint:
On February 27, 2019, the Company reported fourth quarter revenue that fell below investors’ expectations, citing longer sales cycles for seven-figure deals.
On this news, the Company’s share price fell $4.64, or nearly 19%, to close at $20.24 on February 28, 2019, on unusually heavy trading volume.
On June 3, 2019, after the market closed, the Company lowered its fiscal 2020 revenue outlook to a range of $688 million to $692 million, from previous guidance of $700 million to $704 million, again citing longer sales cycles for its larger deals.
On this news, the Company’s share price fell as much as $1.30, or more than 7%, to close at $17.18 per share on June 4, 2019, on unusually heavy trading volume. [Emphasis added.]
The class-action complaint alleges that throughout the Class Period, the Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the business, operations, and prospects of Box. Further, the Box Defendants failed to disclose that Box was unable to close large deals within the quarter, and as a result, the Company’s revenue would be materially impacted; and, as a result of the foregoing, the Box Defendants’ positive statements about the business, operations, and prospects of Box were materially misleading and/or lacked a reasonable basis.
Again, investors who purchased Box stock during the Class Period and suffered damages have until August 5, 2019 to seek appointment as lead plaintiff. Box investors can click Join a Securities Class Action to participate in the lawsuit or contact either John Kehoe, Esq., (215) 792-6676, Ext. 801, jkehoe@kehoelawfirm.com or Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, myarnoff@kehoelawfirm.com, info@kehoelawfirm.com.
Kehoe Law Firm, P.C.
