NEW YORK, Feb. 15, 2018 /PRNewswire/ -- Scott+Scott, Attorneys at Law, LLP ("Scott+Scott"), a national securities and consumer rights litigation firm, is notifying investors that class action lawsuits have been filed against Quantum Corporation (NYSE: QTM) ("Quantum" or the "Company") and other defendants, related to alleged violations of federal securities laws. If you purchased Quantum securities between May 10, 2016 and February 7, 2018, you are encouraged to contact a Scott+Scott attorney at (844) 818-6980 for additional information.
Quantum sells storage, archive, and data protection solutions for capturing, sharing, and preserving digital assets in physical and virtual environments.
The lawsuit claims that defendants misrepresented the Company's financial results. Specifically, the complaint alleges that Defendants made false and/or misleading statements and/or failed to disclose that: (i) Quantum had inappropriately recognized certain revenues going back to at least April 1, 2016; (ii) the Company lacked adequate internal controls over financial reporting; and (iii) that as a result the Company was subject to increased regulatory scrutiny and potential fines; and (iv) as a result of the foregoing, Defendants' statements about Quantum' business, operations, and prospects, were materially false and/or misleading and/or lacked a reasonable basis.
On February 8, 2018, Quantum disclosed that in January of 2018, the Company received a subpoena from the Securities and Exchange Commission related to revenue recognition for certain transactions, prompting an internal investigation by Quantum, which remains ongoing. As a result, the Company announced that it "is postponing release of its fiscal third quarter 2018 results and its earnings conference call."
On this news, Quantum's stock price fell $1.67 per share, or nearly 30%, to close at $3.90 per share on February 8, 2018.
What You Can Do
If you purchased Quantum securities between May 10, 2016 and February 7, 2018, inclusive, or if you have questions about this notice or your legal rights, please contact attorney Rhiana Swartz at (844) 818-6980, or at email@example.com. Investors have until April 16, 2018, to move for lead plaintiff.
About Scott+Scott, Attorneys at Law, LLP
Scott+Scott has significant experience in prosecuting major securities, antitrust, and employee retirement plan actions throughout the United States. The firm represents pension funds, foundations, individuals, and other entities worldwide with offices in New York, London, Connecticut, California, and Ohio.
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