NEW YORK, NY / ACCESSWIRE / April 16, 2024 / Bronstein, Gewirtz & Grossman, LLC, a nationally recognized law firm, notifies investors that a class action lawsuit has been filed against Palo Alto Networks, Inc. ("Palo Alto" or "the Company") (NYSE:PANW) 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 Palo Alto securities between August 18, 2023 and February 20, 2024, inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/PANW.
Case Details:
The Complaint alleges that throughout the Class Period Defendants made false and/or misleading statements and failed to disclose material facts including that:
(1) the Company's consolidation and platformization initiatives were not driving increased market share to a significant degree;
(2) the Company would need to ramp up platformization and free product offerings to entice customers to adopt more of their platforms;
(3) the Company's high growth in billings was not sustainable;
(4) new AI offerings were not facilitating greater platformization and consolidation; and
(5) based on the foregoing, Defendants lacked a reasonable basis for their positive statements about customer demand, billings, and platformization, as well as related financial results, growth, and prospects.
After the market closed on February 20, 2024, Palo Alto Networks announced its financial results for the second quarter of 2024 and lowered its third quarter and full-year billings and revenue guidance. In an earnings call on the same day, Defendants explained that "our guidance is a consequence of us driving a shift in our strategy in wanting to accelerate both our platformization and consolidation and activating our AI leadership." Defendants also revealed that U.S. federal government deals for several large projects did not close and resulted in "a significant shortfall in our U.S. federal government business" that is expected to continue into the third and fourth quarters of 2024.
On this news, the price of Palo Alto Networks, Inc. common stock declined by $104.12 per share, or approximately 28%, on February 21, 2024.
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/PANW 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 Palo Alto you have until April 26, 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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