NEW YORK, Aug. 14, 2015 (GLOBE NEWSWIRE) -- Wolf Haldenstein Adler Freeman & Herz LLP announces that a securities class action lawsuit has been commenced in the United States District Court for the District of Massachusetts on behalf of all purchasers of Constant Contact, Inc. (NASDAQ:CTCT) securities from October 23, 2014 through July 23, 2015, inclusive (the “Class Period”). Shareholders of Constant Contact with losses are urged to contact the firm immediately at classmember@whafh.com or (800) 575-0735 or (212) 545-4774.
According to the filed complaint, Constant Contact made false and/or misleading statements and/or failed to disclose that: (1) Constant Contact’s gross customer additions were less than projected; (2) Constant Contact suffered negative trends in consumer conversion rates; (3) Constant Contact was directing new clients towards the cheapest packages; and (4) consequently, Defendants’ statements about Constant Contact’s business operations and prospects were false and misleading and/or lacked a reasonable basis.
On July 23, 2015, Constant Contact announced its earnings results for the second quarter of 2015 after the market closed with a weak third quarter outlook. Constant Contact experienced low trial-to-conversion rates in April and May of 2014 and a substantial swing in product mix with about 80% of new clients picking the cheapest Email package instead of more expensive options.
On this news, shares of Constant Contact fell $3.35 per share, over 11%, to close on July 24, 2015, at $26.18 per share.
If you purchased Constant Contact, Inc. securities during the period from October 23, 2014 through July 23, 2015, inclusive, you may, no later than October 6, 2015, request that the Court appoint you lead plaintiff of the proposed class.
Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein Adler Freeman & Herz LLP by telephone at (800) 575-0735, via e-mail at classmember@whafh.com, or visit our website at www.whafh.com. All e-mail correspondence should make reference to the “Constant Contact Investigation.”
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