NEW YORK, Nov. 07, 2023 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a securities class action lawsuit has been filed in the United States District Court for the Southern District of New York on behalf of all persons or entities who purchased or otherwise acquired SolarEdge Technologies, Inc. (“SolarEdge” or the “Company”) (NASDAQ: SEDG) securities between May 3, 2023, and October 19, 2023, inclusive (the “Class Period”). The lawsuit seeks to recover damages for the Company’s investors under the federal securities laws.
SolarEdge provides inverter solutions for a solar photovoltaic (PV) system.
The SolarEdge complaint alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) SolarEdge’s distribution channels in Europe had higher than optimal inventory levels; (ii) as a result, SolarEdge was experiencing substantial cancellations and pushouts of existing backlog from its European distributors; and (iii) consequently, SolarEdge’s backlog and guidance was overstated.
The SolarEdge complaint further alleges that on October 19, 2023, SolarEdge disclosed that “[d]uring the second part of the third quarter of 2023, we experienced substantial unexpected cancellations and pushouts of existing backlog from our European distributors” and “[a]s a result, third quarter revenue, gross margin and operating income will be below the low end of the prior guidance range.” The complaint alleges that SolarEdge further revealed that it “anticipates significantly lower revenues in the fourth quarter of 2023 as the inventory destocking process continues,” according to the complaint. The SolarEdge complaint also alleges that on this news, the price of SolarEdge stock fell more than 27%.
Investors who purchased or otherwise acquired shares of SolarEdge should contact the Firm prior to the January 2, 2024 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.
Please visit our website at http://www.gme-law.com for more information about the firm.
