SAN FRANCISCO, Jan. 18, 2020 (GLOBE NEWSWIRE) -- Hagens Berman urges Canopy Growth Corporation (NYSE: CGC) investors who have suffered significant losses to submit their losses now to learn if they qualify to recover compensable damages. Only three days remain until the January 21, 2020 lead plaintiff deadline in a securities fraud class action that has been filed against the company and senior executives.
Canopy Growth (CGC) Securities Class Action:
The complaint alleges that throughout the Class Period Defendants falsely represented and failed to disclose that: (i) Canopy had exaggerated and/or overestimated the potential market for its products in Canadian retail stores; (ii) as a result, Canopy had failed to properly account for inventory and demand for its products, leading to inventory write-offs and restructuring charges; (iii) all of the foregoing was reasonably likely to have a material negative impact on the Company’s financial results; and (iv) as a result, the Company’s public statements were materially false and misleading at all relevant times.
The complaint alleges that the true details regarding Canopy’s business and prospects entered the market on Nov. 14, 2019, when the Company announced a disappointing 2Q 2020 earnings, blaming the poor results on inventory write-offs and restructuring charges for product returns, return provisions and pricing allowances.
This news caused the price of Canopy Growth shares to decline, damaging Canopy investors.
If you invested in Canopy Growth between Sept. 8, 2017 and Nov. 13, 2019 and suffered significant losses (in excess of $500,000), you may qualify to be a lead plaintiff – one who selects and oversees the attorneys prosecuting the case. Contact Hagens Berman immediately to obtain additional information about this case or being a lead plaintiff.
“We’re focused on recovering investors’ losses and determining whether Canopy executives misstated financials while lining their pockets with excessive compensation,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you purchased shares of Canopy Growth and suffered significant losses, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Canopy Growth should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email CGC@hbsslaw.com.
About Hagens Berman
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Reed Kathrein, 844-916-0895