NEW YORK, Nov. 13, 2023 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of XPEL, Inc. (“XPEL” or the “Company”) (NASDAQ: XPEL). Such investors are advised to contact Robert S. Willoughby at newaction@pomlaw.com or 888-476-6529, ext. 7980.
The investigation concerns whether XPEL and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
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On October 19, 2023, Culper Research issued a report alleging that XPEL “grossly understated its reliance on Tesla.” In the prior week, Tesla stated that it would be eliminating XPEL from its supply chain. In response, XPEL stated that Tesla represented only 5% of its revenues. However, Culper Research estimated that Tesla actually represents 25% to 35% of XPEL’s paint protection films (“PPF”) business. Culper Research further alleged that XPEL “is concealing a massive undisclosed risk from its primary supplier which threatens to upend the [XPEL]’s entire reason for being.” Specifically, Culper Research claimed that XPEL’s long-time supplier, entrotech, inc., formed a joint venture with PPG, which has integrated protection technology directly into OEM paint. Culper Research noted that while “XPEL has historically disclosed it substantial reliance on entrotech in its filings,” it had “conspicuously removed all mentions of entrotech in its most recent Form10-K and 10-Qs.”
On this news, XPEL’s stock price fell $10.57 per share, or more than 17%, to close at $50.65 per share on October 19, 2023.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered billions of dollars in damages awards on behalf of class members. See www.pomlaw.com.
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CONTACT:
Robert S. Willoughby
Pomerantz LLP
888-476-6529 ext. 7980
