Bernstein Liebhard LLP announces that StoneCo Ltd. a class action lawsuit has been filed against securities.


NEW YORK, November 22, 2021 / PRNewswire / – Bernstein Liebhard, a nationally recognized investor rights law firm, announces that on behalf of investors who purchase the securities of StoneCo Ltd. (“StoneCo”) bought or acquired a securities class action (NASDAQ: STNE) between January 11, 2021 and November 16, 2021, included (the “Class Period”). The lawsuit was filed in The United States District Court for the southern district of new York and alleges violations of the Securities Exchange Act of 1934.

if you Purchased or otherwise acquired StoneCo securities and / or wish to discuss your statutory rights and options, please visit Stoneco Ltd class action lawsuit or contact Joe Seidman free of charge at (877) 779-1414 or [email protected].

StoneCo is a financial technology solutions provider. StoneCo’s services enable merchants and other vendors to conduct e-commerce through in-store, online and mobile channels, primarily in Brazil.

According to the lawsuit, defendants made materially false and / or misleading statements and failed to disclose material adverse facts about the business, operations and prospects of the company. In particular, Defendants have failed to disclose to investors that: (1) StoneCo had difficulty executing its loan product; (2) StoneCo has been exposed to significant risks through its point of sale provider, PAX Global Technology Ltd.; and (3) as a result of the foregoing, the company’s financial results would be adversely affected.

on August 30, 2021After the market closed, StoneCo announced its financial results for the second quarter of 2021 in a press release, reporting an 8.1% year-over-year decline in revenue “primarily due to loan fair value adjustments and significantly lower loan disbursements”. The company said it had “taken some prudent measures, such as temporarily suspending loan disbursements and increasing coverage for potential future losses that may affect the company [StoneCo’s] Quarterly results published. “

As a result of these disclosures, the company’s share price declined $ 2.96 close around $ 46.54 per share August 31, 2021, with unusually high trading volumes.

Then, on October 26, 2021, PAX Global Technology Ltd. Florida Offices were raided as part of a federal investigation by the US Department of Investigations, the Department of Homeland Security, and several other agencies. As a Viceroy research to report October 27, 2021 noted that StoneCo states that PAX “no longer” [its] sole provider of POS services, [but the Company is] still heavily dependent on a considerable amount of. manufacture and assemble [its] POS devices. “Also, another company replaced its PAX terminals” because it did not receive satisfactory responses from PAX regarding its POS devices connecting to websites not listed in the documentation provided. “

Because of this news, the company’s share price fell $ 2.64, or 7% to close at $ 33.81 per share October 27, 2021to hurt other investors.

Finally on November 16, 2021, StoneCo announced that it would “start retesting our original”. [credit] Product that is short-term loans between the fourth quarter of ’21 and the first quarter of ’22.

Because of this news, the company’s share price fell $ 10.96, or 34% to close at $ 20.70 per share November 17, 2021further harming investors.

If you want to appear as the lead plaintiff, you have to go to court no later than January 18, 2022. A lead plaintiff is a representative party who acts on behalf of other members of the group in directing the dispute. Your ability to partake in a recovery does not require you to be the lead plaintiff. If you do nothing, you can remain an absent class member.

if you wish to discuss purchased or otherwise acquired StoneCo securities and / or your statutory rights and options please visit https://www.bernlieb.com/cases/stonecoltd-stne-shareholder-lawsuit-class-action-fraud-stock-461/ or contact Joe Seidman free of charge at (877) 779-1414 or [email protected].

Bernstein Liebhard LLP has been recovering since 1993 $ 3.5 billion for its customers. In addition to representing retail investors, the firm has been hired by some of the largest public and private pension funds in the country to monitor their assets and litigate on their behalf. As a result of its success in hundreds of lawsuits and class actions, the firm has been listed on the National Law Journal’s “Plaintiffs Hot List” thirteen times and The Legal 500 for ten consecutive years.

ADVERTISING LAWYER. © 2021 Bernstein Liebhard LLP. The firm responsible for this advertisement is Bernstein Liebhard LLP, 10 East 40th Street, New York, New York 10016, (212) 779-1414. The lawyer responsible for this report im State of Connecticut is Michael S. Bigin. Past results do not guarantee or predict a similar result with respect to future matters.

Contact information:

Joe Seidman
Bernstein Liebhard LLP
https://www.bernlieb.com
(877) 779-1414
[email protected]

SOURCE Bernstein Liebhard LLP

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