Securities Class Action Filed Against SanDisk Corporation
Violations of federal securities laws as a result of a series of materially false statements. The Complaint alleges that, throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose that: (1) SanDisk was experiencing production qualification delays on certain of its key products; (2) the Company was experiencing lower-than-expected sales of enterprise products; (3) the Company was vulnerable to lower pricing in some areas of the business; and (4) as a result of the foregoing, SanDisk would be forced to announce drastically lower first quarter revenue estimates compared to prior forecasts, and to withdraw 2015 forecasts for the Company’s financial results in their entirety. The Complaint states that on March 26, 2015, before the market opened, the Company issued a press release announcing that it expected revenue for the fiscal first quarter “to be approximately $1.3 billion, depending on final sell-through results, compared to the previously forecasted revenue range of $1.40 billion to $1.45 billion.” As the Company disclosed, this reduction in guidance was “primarily due to certain product qualification delays, lower than expected sales of enterprise products and lower pricing in some areas of the business.” Moreover, the Company announced that it expected continued impact to its 2015 financial results from these factors, as well as the previously identified supply challenges, and now forecasts 2015 revenue to be lower than what had been previously forecast. On this news, shares of SanDisk declined $14.98 per share, or by 18.45%, to close on March 26, 2015 at $66.20 per share, on unusually heavy volume. Filed in N.D. Cal.
Lead Plaintiff Deadline: The deadline to file for lead plaintiff in this action is 5/29/2015.
Join This Action: To apply to join this action and be represented by Shepherd, Finkelman, Miller & Shah, LLP, please click here for a certification form to submit your information.
Send Us Information: If you have information about this action that you would like to provide us, please click here.