Law Offices of Howard G. Smith reminds investors of the upcoming December 26, 2023 deadline to file a lead plaintiff motion in the case filed on behalf of investors who purchased SunPower Corporation (“SunPower” or the “Company”) (NASDAQ: SPWR) securities between March 9, 2023 and October 24, 2023, inclusive (the “Class Period”).
Investors suffering losses on their SunPower investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to [email protected].
On October 24, 2023, SunPower announced that financial statements from 2022 and the first two quarters of 2023 should no longer be relied upon due to “a material weakness” in the Company’s internal control over financial reporting. The Company plans to restate the results, disclosing that it “preliminarily determined that the value of consignment inventory of microinverter components at certain third-party locations had been overstated in the Affected Periods in the range of approximately $16 million to $20 million, resulting in the associated cost of revenue being understated.”
On this news, SunPower’s stock price fell $0.90, or 18.1%, to close at $4.06 per share on October 25, 2023, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) due to a material weakness in its internal control over financial reporting, the Company had inaccurately reported cost of revenue and inventory metrics; (2) as a result of the foregoing, the Company was reasonably likely to incur significant charges to restate prior reporting; and (3) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
If you purchased or otherwise acquired SunPower securities during the Class Period, you may move the Court no later than December 26, 2023 to ask the Court to appoint you as lead plaintiff if you meet certain legal requirements. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to [email protected], or visit our website at www.howardsmithlaw.com.
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