NEW YORK, NY / ACCESSWIRE / March 15, 2024 / Bronstein, Gewirtz & Grossman, LLC, a nationally recognized law firm, notifies investors that a class action lawsuit has been filed against Lyft, Inc. ("Lyft" or "the Company") (NASDAQ:LYFT) and certain of its officers.
Class Definition:
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Lyft securities between February 13, 2024, at 4:05 p.m. and February 13, 2024, at 4:51 p.m. inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/LYFT.
Case Details:
Lyft publicly issued a press release reporting fourth quarter 2023 operating results on February 13, 2024 at 4:05 p.m. The press release was also filed with the SEC as an exhibit to a Form 8-K.
The Complaint alleges that the press release misrepresented that Lyft anticipated an "[a]djusted EBITDA margin expansion . . . of approximately 500 basis points year-over-year." However, in fact, Lyft only anticipated a 50 basis point margin expansion. Thus, rather than anticipating 2024 margins of 6.6%, in fact Lyft was only anticipating 2024 margins of 2.1%.
Contemporaneous with the issuance of the press release, Lyft issued Supplemental Data supporting the press release that similarly misrepresented the 500 basis point margin expansion. The misrepresentation with respect to margins was material and caused Lyft common stock, which closed on February 13, 2024 at $12.13, to trade as high as $20.25 in the aftermarket.
The press release and Supplemental Data went uncorrected until approximately 4:47 p.m. when Lyft's CFO first stated on an investor conference call (17 minutes into the call), that Lyft anticipated a margin expansion of 50 basis points. The CFO's statement had an immediate impact on the market, with Lyft common shares reversing and trading at $12.92 a share between 4:50 and 4:51 p.m. Between 4:05 p.m. and 4:51 p.m., however, millions of Lyft shares traded at inflated prices.
What's Next?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: bgandg.com/LYFT or you may contact Peretz Bronstein, Esq. or his Law Clerk and Client Relations Manager, Yael Nathanson of Bronstein, Gewirtz & Grossman, LLC at 332-239-2660. If you suffered a loss in Lyft you have until May 6, 2024, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
There is No Cost to You
We represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman:
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide.
Attorney advertising. Prior results do not guarantee similar outcomes.
Contact:
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Yael Nathanson
332-239-2660 | info@bgandg.com
SOURCE: Bronstein, Gewirtz & Grossman, LLC
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