NEW YORK, NY / ACCESSWIRE / December 28, 2019 / Pomerantz LLP announce that a class action lawsuit has been filed against Under Armour, Inc. ("Under Armour" or the "Company") (NYSE:UA; UAA) and certain of its officers. The class action, filed in United States District Court, for the District of Maryland, and docketed under 19-cv-03502, is on behalf of a class consisting of investors who purchased or otherwise acquired Under Armour securities from August 3, 2016 through November 1, 2019, inclusive (the "Class Period"), seeking to recover damages caused by Defendants' violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the "Exchange Act") and Rule 10b-5 promulgated thereunder, against the Company and certain of its top officials.
If you are a shareholder who purchased Under Armour securities during the class period, you have until January 6, 2020, to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at email@example.com or 888.476.6529 (or 888.4-POMLAW), toll-free, Ext. 9980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and number of shares purchased.
Under Armour purports to develop, market, and distribute branded performance apparel, footwear, and accessories for men, women, and youth. In addition, the Company also purports to offer accessories, which include gloves, bags, and headwear; and digital fitness subscriptions, as well as digital advertising through MapMyFitness, MyFitnessPal, and Endomondo platforms.
The Complaint alleges that the defendants made false and/or misleading statements and/or failed to disclose the following adverse facts pertaining to the Company's business, operations and prospects, which were known to Defendants or recklessly disregarded by them. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Under Armour shifted sales from quarter to quarter to appear healthier, including to keep pace with their long-running year-over-year 20% net revenue growth; (ii) undisclosed to the investing public, the Company had been under investigation by and cooperating with the U.S. Department of Justice ("DOJ") and U.S. Securities and Exchange Commission ("SEC") since at least July 2017; and (iii) as a result, Defendants' statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times.
On November 3, 2019, the Wall Street Journal reported on DOJ and SEC investigations into Under Armour's accounting practices and related disclosures. The article, entitled "Under Armour Is Subject of Federal Accounting Probes," noted that the investigations concerned whether Under Armour shifted sales from quarter to quarter to appear healthier.
That same day, the Company confirmed to the Wall Street Journal that it had been cooperating with the DOJ and SEC since July 2017.
On this news, Class C shares of Under Armour (UA) fell $3.47 per share, or 18.35%, to close at $15.44 per share, and Class A shares of Under Armour (UAA) fell $4.00 per share, or 18.92%, to close at $17.14 per share, on November 4, 2019, damaging investors.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and Los Angeles, 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, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm 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 numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com
SOURCE: Pomerantz LLP
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