LEAD PLAINTIFF DEADLINE IS MARCH 28, 2023
NEW YORK, Feb. 9, 2023 /PRNewswire/ -- Wolf Haldenstein Adler Freeman & Herz LLP announces that a federal securities class action lawsuit has been filed in the United States District Court for the Northern District of Georgia on behalf of investors who purchased or acquired the common stock of National Vision Holdings, Inc. ("National Vision" or the "Company") (NASDAQ: EYE) between May 13, 2021 and May 9, 2022, inclusive (the "Class Period").
All investors who purchased shares and incurred losses are advised to contact the firm immediately at classmember@whafh.com or (800) 575-0735 or (212) 545-4774. You may obtain additional information concerning the action or join the case on our website, www.whafh.com.
If you have incurred losses, you may, no later than March 28, 2023, request that the Court appoint you lead plaintiff of the proposed class. Please contact Wolf Haldenstein to learn more about your rights.
PLEASE CLICK HERE TO SUBMIT YOUR CONTACT AND TRANSACTION INFORMATION
National Vision is an optical retailer that provides eye exams, eyeglasses, and contact lenses to value-seeking and lower-income consumers.
The filed complaint alleges that Defendants made materially false and misleading statements throughout the Class Period. Specifically, Plaintiff alleges that Defendants failed to disclose that:
- National Vision was experiencing extraordinary wage and labor pressures as a result of intense competition and disruptions in the labor market due to the COVID-19 pandemic;
- National Vision had made a significant multi-million-dollar investment in wage and compensation payments to its vision care professionals to prevent mass defections in the middle of 2021;
- the enhanced payouts were expected to negatively impact National Vision's fourth quarter 2021 costs and profit margins to an extent materially greater than what had been disclosed to investors;
- as a result, National Vision's profitability metrics were expected to deteriorate below not only favorable 2020 results, but also below pre-pandemic levels; and
- consequently, there was a substantial undisclosed risk that National Vision would experience staff and optometrist shortages and capacity constraints.
On May 10, 2022, National Vision issued deeply disappointing financial and operational results for its first fiscal quarter of 2022. The release stated that during the quarter, on a year-over-year basis, the Company's net revenues had decreased 1.2% to $527.7 million, its adjusted CSS had fallen 6.8%, net income had decreased 30.6% to $30.1 million, and its diluted EPS had decreased 28.2% to $0.34. The release also slashed the Company's 2022 outlook, lowering adjusted CSS to a range of negative 7% to negative 4%, net revenue to a range of $2.01 billion to $2.07 billion, adjusted operating income to a range of $85 million to $105 million, and adjusted diluted EPS to a range of $0.65 to $0.80. Notably, the revised projections indicated that the Company was actually performing worse in terms of profits and earnings than before the pandemic. The release blamed "'emerging constraints to exam capacity'" as a major reason for the shortfall, a fact that the Individual Defendants confirmed on the Company's subsequent earnings call related to a lack of sufficient optometrists.
On this news, National Vision's stock price fell $8.64 per share, or over 25%, to close at $24.93 per share on May 10, 2022.
Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein by telephone at (800) 575-0735 or via e-mail at classmember@whafh.com.
Contact:
Wolf Haldenstein Adler Freeman & Herz LLP
Patrick Donovan, Esq.
Gregory Stone, Director of Case and Financial Analysis
Email: gstone@whafh.com, donovan@whafh.com or classmember@whafh.com
Tel: (800) 575-0735 or (212) 545-4774
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
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SOURCE Wolf Haldenstein Adler Freeman & Herz LLP
