NEW YORK, July 26, 2019 (GLOBE NEWSWIRE) -- Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC reminds investors that a class action lawsuit has been filed against Omnicell, Inc. (“Omnicell” or the “Company”) (NASDAQ: OMCL) and certain of its officers, on behalf of shareholders who purchased or otherwise acquired Omnicell securities between October 25, 2018 and July 11, 2019, both dates inclusive. Such investors are encouraged to join this case by visiting the firm’s site: www.bgandg.com/omcl.
This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934.
The lawsuit alleges that throughout the Class Period, defendants made false and/or misleading statements and/or failed to disclose that: (1) Omnicell recognized revenue for certain transactions before fulfilling its performance obligations; (2) the Company engaged in improper accounting practices to meet revenue targets; (3) the Company experienced weaker demand for new product lines than it had previously projected; (4) consequently, the Company would be required to write-off certain inventory; (5) Omnicell misclassified certain expenses as capitalized expenditures; and (6) as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
On July 11, 2019, GlassHouse Research LLC reported that Omnicell impulsively recognized over $38 million in sales. The article continued to allege that new product lines were pushed onto cautious customers, who were weary to purchase more inventory due to implementation issues, and Omnicell will need to write off $23 million in obsolete inventory. Following this news, Omnicell stock dropped $11.41 per share, or roughly 14%, to close at $75.11 on July 11, 2019.
If you wish to review a copy of the Complaint you can visit the firm’s site: www.bgandg.com/omcl or you may contact Peretz Bronstein, Esq. or his Investor Relations Analyst, Yael Hurwitz of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484. If you suffered a loss in Omnicell you have until September 16, 2019 to request that the Court appoint you as lead plaintiff. A lead plaintiff acts on behalf of all other class members in directing the litigation. The lead plaintiff can select a law firm of its choice. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm’s expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.
Contact:
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Yael Hurwitz
212-697-6484 | info@bgandg.com
