NEW YORK, Nov. 22, 2016 /PRNewswire/ -- Rosen Law Firm, a global investor rights law firm, reminds purchasers of The Allstate Corporation securities (NYSE: ALL) from October 30, 2014 through August 3, 2015, both dates inclusive (the "Class Period") of the important January 9, 2017 lead plaintiff deadline in the class action. The lawsuit seeks to recover damages for Allstate investors under the federal securities laws.
NO CLASS HAS YET BEEN CERTIFIED IN THE ABOVE ACTION. UNTIL A CLASS IS CERTIFIED, YOU ARE NOT REPRESENTED BY COUNSEL UNLESS YOU RETAIN ONE. YOU MAY ALSO REMAIN AN ABSENT CLASS MEMBER AND DO NOTHING AT THIS POINT. YOU MAY RETAIN COUNSEL OF YOUR CHOICE.
According to the lawsuit, throughout the Class Period defendants made false and/or misleading statements and/or failed to disclose that the reason for the sudden spike in its auto claims frequency, which defendants claimed was due to external events beyond the Allstate's control, was actually the result of Allstate's growth in its auto policy business through higher risk drivers. On August 3, 2015, Allstate reported disappointing second quarter 2015 financial results, including a third consecutive quarter of increased auto claims frequency, a 57% decline in operating income, and operating earnings per share that were $0.34 below analysts' consensus estimate. On that same day, Allstate's CEO stated that the lower quarterly profit was "driven by a deterioration in auto insurance margins" and explained that "[a]uto insurance margins decreased as higher claim frequency and severity more than offset average auto insurance price increases." On this news, shares of Allstate fell $7.04 per share to close at $62.34 per share on August 4, 2015. Attorney Advertising. Prior results do not guarantee a similar outcome.
A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than January 9, 2017. If you wish to join the litigation, go to http://www.rosenlegal.com/cases-993.html or to discuss your rights or interests regarding this class action, please contact Phillip Kim or Kevin Chan of Rosen Law Firm toll free at 866-767-3653 or via email at [email protected] or [email protected].