NEW YORK, Jan. 22, 2018 /PRNewswire/ -- Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC notifies investors that a class action lawsuit has been filed against Aerohive Networks, Inc. ("Aerohive " or the "Company") (NYSE: HIVE) and certain of its officers, on behalf of shareholders who purchased Aerohive securities during the period between November 1, 2017 and January 16, 2018, both dates inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: http://www.bgandg.com/hive.
This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934.
The complaint alleges that throughout the Class Period defendants made false and/or misleading statements and/or failed to disclose that: (1) there were underlying sales execution issues that were uncovered at the end of the third quarter of 2017; (2) consequently, Aerohive's revenue guidance for the fourth quarter of 2017 was overstated; and (3) as a result, defendants' public statements were materially false and misleading at all relevant times.
On November 1, 2017, Aerohive held its third quarter 2017 conference call, when CFO, John Ritchie, said that "[w]e are currently expecting Q4 revenue in the range of $40 million to $42 million," and that "[w]e realized significant sales efficiency with our non-GAAP sales and marketing costs." Then, on January 16, 2018, Aerohive revealed that it "expects net revenue for the fourth quarter to be approximately $37 million, which is below the Company's previously stated guidance of $40 million to $42 million." Aerohive noted that the reduced guidance to was due to "underlying sales execution issues" revealed at the end of its third quarter. Following this news, Aerohive stock dropped $1.63 per share or over 29% to close at $4.07 per share on January 17, 2018.
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: http://www.bgandg.com/hive or you may contact Peretz Bronstein, Esq. or his Investor Relations Analyst, Yael Hurwitz of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484. If you suffered a loss in Aerohive you have until March 20, 2018 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm's expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Yael Hurwitz
212-697-6484 | [email protected]
SOURCE Bronstein, Gewirtz & Grossman, LLC