Applied Optoelectronics investors may receive additional information about the case by clicking the link "Submit Your Information" above.
According to the complaint, Applied Optoelectronics purports to design and to manufacture fiber-optic networking products, primarily for four networking end-markets: internet data center, cable television, telecommunications, and fiber-to-the-home.
The Class Period commences on August 7, 2018, when Applied Optoelectronics published a press release announcing the second quarter 2018 financial results.
The complaint alleges that, on September 27, 2018, an analyst with Loop Capital Markets downgraded Applied Optoelectronics stock, reporting that the company was experiencing product quality issues with certain transceivers in which its lasers fail after thousands of hours of operation. The analyst also lowered gross margin and revenue expectations because the product quality issues suggested that Applied Optoelectronics would start procuring lasers externally through 2019. Following this news, Applied Optoelectronics’ share price fell $2.98 per share, more than 9%, to close at $28.36 per share on September 27, 2018.
Then, on September 28, 2018, Applied Optoelectronics cut its revenue guidance for the third quarter 2018 because it had identified an issue with its lasers that caused them to temporarily suspend shipments of certain transceivers. Following this news, Applied Optoelectronics’ share price fell $3.70 per share, more than 13%, to close at $24.66 per share on September 28, 2018, on unusually high trading volume.
The complaint alleges that throughout the Class Period, the defendants failed to disclose to investors that: (1) certain of Applied Optoelectronics’ lasers were susceptible to fail prematurely; (2) certain of Applied Optoelectronics’ transceivers utilizing these lasers would be materially affected; and (3) as a result of the foregoing, the defendants’ positive statements about the company’s business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.
If you are a member of the class described above, you may no later than November 30, 2018 move the Court to serve as lead plaintiff of the class, if you so choose.
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. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Any member of the purported class may move the court to serve as a lead plaintiff through counsel of their choice, or may choose to do nothing and remain an inactive class member.
Kessler Topaz Meltzer & Check, LLP has not filed a complaint in this matter. If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP toll free at 1-888-299-7706 or 1-610-667-7706, or via e-mail at info@ktmc.com. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.
CONTACT:
Kessler Topaz Meltzer & Check, LLP
James Maro, Esq. or Adrienne Bell, Esq.
280 King of Prussia Road
Radnor, PA 19087
1-888-299-7706 (toll free) or 1-610-667-7706
Or by e-mail at info@ktmc.com