Bala Cynwyd, Pennsylvania--(Newsfile Corp. - April 3, 2024) - Law office of Brodsky & Smith announces that it is investigating potential claims against the Board of Directors of Amplitude, Inc. ("Amplitude" or the "Company") (NASDAQ: AMPL) for possible breaches of fiduciary duty and other violations of federal and state law. The investigation concerns possible corporate misconduct detailed in a recently filed securities fraud complaint against Amplitude.
According to the complaint, On September 21, 2021, Amplitude issued a press release announcing its financial results for Q2 2021. In the release, Amplitude highlighted several metrics that purportedly showed favorable growth at the company, including 66% quarterly revenue growth. The company also hosted an earnings call led in part by defendant Vuong, who emphasized that "[e]xpansion from existing customers were particularly robust as the team continued to execute well on our land-and-expand strategy." A week later, on September 28, 2021, Amplitude filed documents with the SEC in connection with its IPO through a direct listing, wherein the company continued to tout its land-and-expand strategy as one of its primary "Growth Strategies." The following day, in an online AMA, defendant Skates highlighted that the company was experiencing explosive revenue growth. Thereafter, Amplitude continued to tout its growth and purported continued successful execution of its land-and-expand strategy.
After the market closed on February 16, 2022, the truth was revealed when Amplitude revised downward its 2022 revenue guidance, from more than 40%, to a range of $226 million to $234 million (or 35% to 40%).
The investigation seeks to determine whether members of the Amplitude board of directors violated the securities laws and/or breached their fiduciary duties in connection with the allegations leveled in the complaint. If you have owned shares of Amplitude stock since prior to February 16, 2022, and wish to discuss the legal ramifications of the investigation, or have any questions, you may e-mail or call the law office of Brodsky & Smith who will, without obligation or cost to you, attempt to answer your questions. You may contact Jason L. Brodsky, Esquire, or Marc L. Ackerman by email at clients@brodsky-smith.com, https://www.brodskysmith.com/cases/amplitude-inc-nasdaq-ampl/, or call toll free 855-576-4847.
Brodsky & Smith is a litigation law firm with extensive expertise representing shareholders throughout the nation in securities and class action lawsuits. The attorneys at Brodsky & Smith have been appointed by numerous courts throughout the country to serve as lead counsel in class actions and have successfully recovered millions of dollars for our clients and shareholders. Attorney advertising. Prior results do not guarantee a similar outcome.
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