Class Action Lawsuits Against Companies
- Class action lawsuits have been filed against Seritage Growth Properties, 2U, Inc., Teradata, and Lamb Weston.
- The lawsuits were initiated on behalf of stockholders, suggesting potential legal and financial implications for these companies.
- Investors are reminded to stay informed about the outcomes of these cases as they may affect stock market dynamics.
NEW YORK, Aug. 07, 2024 (GLOBE NEWSWIRE) – Bragar Eagel & Squire, P.C., a prominent shareholder rights law firm, has announced the initiation of class action lawsuits on behalf of investors in Seritage Growth Properties, 2U, Inc., Teradata Corporation, and Lamb Weston Holdings, Inc. Following the announcement, Seritage’s stock plummeted by 9.67% to $8.03 per share on August 15, 2023, amid heavy trading. The lawsuits allege that the companies made misleading statements and failed to disclose critical adverse information regarding their business operations and financial health. In a significant development, Seritage revealed on May 10, 2024, that it was adjusting its asset pricing projections, resulting in a $325 million reduction in the gross value of its portfolio. The company also acknowledged an $80 million recognition in the fourth quarter due to partners exiting certain degree programs, which was attributed to a 21% drop in full course equivalent enrollment linked to a new marketing strategy initiated in mid-2022. The class action claims that the company misled investors about its stability and revenue sources. Teradata Corporation is also facing scrutiny, with allegations that it overstated its ability to close customer transactions under its new business model. The company’s executives indicated that the transition involved more decision-makers, causing delays in finalizing deals, which could hinder its annual revenue growth expectations for 2023. Lamb Weston Holdings disclosed that its recent ERP system transition negatively impacted sales volumes, as some customers turned to competitors due to issues arising from the transition. This revelation led to a significant drop in the company’s stock price, declining over 19%. The ongoing class actions highlight the growing concerns among investors regarding transparency and the accuracy of financial disclosures from these companies.