WAYNE, Pa., Jan. 9, 2015 /PRNewswire/ -- Ryan & Maniskas, LLP announces that a class action lawsuit has been filed in United States District Court for the Northern District of California on behalf of all persons or entities that purchased the common stock of InvenSense, Inc. ("InvenSense" or the "Company") (NYSE: INVN) between July 29, 2014 and October 28, 2014, inclusive (the "Class Period").
InvenSense shareholders may, no later than March 9, 2015, move the Court for appointment as a lead plaintiff of the Class. If you purchased shares of Invensense and would like to learn more about these claims or if you wish to discuss these matters and have any questions concerning this announcement or your rights, contact Richard A. Maniskas, Esquire toll-free at (877) 316-3218 or to sign up online, visit: www.rmclasslaw.com/cases/invn.
InvenSense designs, develops, markets and sells Micro-Electro-Mechanical Systems ("MEMS") sensors, such as accelerometers, gyroscopes and microphones for consumer electronics. The Complaint alleges that throughout the Class Period, defendants made materially false and misleading statements, and omitted materially adverse facts, about the Company's business, operations and prospects. Specifically, the Complaint alleges that the defendants concealed from the investing public that: (1) the Company had entered into an agreement with Apple to supply sensors for the iPhone 6 and iPhone 6 plus at heavily discounted prices compared to other consumers; (2) the low prices charged to Apple, along with low prices charged to Samsung, had, and would continue to, negatively impact the Company's margins; (3) InvenSense encountered manufacturing problems and inefficiencies which negatively impacted margins; (4) defendants lacked a reasonable basis to provide its stated near term financial guidance or to assure investors that margins would be consistent with historical levels; (5) the Company's Form 10-Q for the first quarter of 2015 failed to disclose then presently known trends, events or uncertainties associated with the Company's sales and margins that were reasonably likely to have a material effect on InvenSense's future operating results; and (6) as a result of the foregoing, defendants lacked a reasonable basis for their positive statements about the Company's financial performance and outlook during the Class Period. As a result of defendants' alleged false and misleading statements, the Company's stock traded at artificially inflated prices during the Class Period.
According to the Complaint, on October 28, 2014, the Company announced disappointing financial results for the quarter ended September 28, 2014, and revealed a substantial drop-off in margins due in large part to low pricing for Apple and Samsung, operational inefficiencies with the iPhone 6 rollout, and a charge related to old inventory.
On this news, shares in InvenSense plummeted over 25%, closing at $16.08 per share on October 29, 2014, on extraordinarily high trading volume.
If you are a member of the class, you may, no later than March 9, 2015, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Ryan & Maniskas, LLP or other counsel of your choice, to serve as your counsel in this action.
Ryan & Maniskas, LLP is a national shareholder litigation firm. Ryan & Maniskas, LLP is devoted to protecting the interests of individual and institutional investors in shareholder actions in state and federal courts nationwide.
SOURCE Ryan & Maniskas, LLP