NEW YORK, March 22, 2023 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, is investigating potential claims against Veradigm Inc. (NASDAQ: MDRX), Nutanix, Inc. (NASDAQ: NTNX), Edgio, Inc. (NASDAQ: EGIO), and LivePerson, Inc. (NASDAQ: LPSN). Our investigations concern whether these companies have violated the federal securities laws and/or engaged in other unlawful business practices. Additional information about each case can be found at the link provided.
Veradigm Inc. (NASDAQ: MDRX)
On February 28, 2023, Veradigm disclosed that it “detected certain internal control failures related to revenue recognition that have occurred over the prior six quarters, resulting in a mis-statement to reported revenues during those periods.” As a result, the Company reported that it expects “a reduction in revenue from continuing operations of approximately $20 million dollars in the aggregate from what it otherwise reported since the 3rd quarter of 2021 and expected to report for the 4th quarter of 2022.” The Company added that it is “continuing to evaluate the materiality of the mis-statement to determine if the full amount of this adjustment will flow through in the 4th quarter of 2022 or if prior periods will also require adjustment.” As a result, Veradigm revised its 2023 guidance downward and announced that it would not be filing its 2022 annual report on time.
On this news, Veradigm’s stock price fell $2.12 per share, or 12.76%, to close at $14.49 per share on March 1, 2023.
For more information on the Veradigm investigation go to: https://bespc.com/cases/MDRX
Nutanix, Inc. (NASDAQ: NTNX)
On March 6, 2023, Nutanix issued a press release reporting selected preliminary second quarter fiscal 2023 financial results. Among other items, Nutanix reported that "Company management discovered that certain evaluation software from one of its third-party providers was instead used for interoperability testing, validation and customer proofs of concept over a multi-year period." Due to an ongoing Audit Committee investigation into the matter, Nutanix stated that "it does not expect to be able to [timely] file its Quarterly Report on Form 10-Q for the quarter ended January 31, 2023[.]"
On this news, Nutanix's stock price fell $2.27 per share, or 7.89%, to close at $26.50 per share on March 7, 2023.
For more information on the Nutanix investigation go to: https://bespc.com/cases/NTNX
Edgio, Inc. (NASDAQ: EGIO)
The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. Edgio disclosed on March 13, 2023, that it would restate its financial statements for the years ending 2020 and 2021 along with quarterly reports within those years. The Company admitted that its audit committee had “identified an error in the Company’s historic accounting treatment of Edgio’s Open Edge solution.” The error would also cause a delay in the Company’s upcoming annual report.
On this news, shares of Edgio dropped by 15.5% on the same day.
For more information on the Edgio investigation go to: https://bespc.com/cases/EGIO
LivePerson, Inc. (NASDAQ: LPSN)
On March 15, 2023, LivePerson issued a press release announcing its fourth quarter 2022 financial results. The Company disclosed that WildHealth, the Company’s subsidiary, received a notice that Medicare was suspending reimbursements for services rendered under the Medicare demonstration program pending further review. As a result, LivePerson elected to take a reserve for revenue associated with such services in the fourth quarter of 2022 for which payment has not yet been collected. LivePerson further disclosed that, had the Company recognized revenues associated with services delivered under the program during the fourth quarter of fiscal 2022, its revenue would have been within the previous guidance ranges for the fourth quarter and full year. On this news, the price of LivePerson shares declined by $5.64 per share, or approximately 57.72%, from $9.77 per share to close at $4.13 on March 15, 2023.
For more information on the LivePerson investigation go to: https://bespc.com/cases/LPSN
About Bragar Eagel & Squire, P.C.:
Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York, California, and South Carolina. The firm represents individual and institutional investors in commercial, securities, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.
Bragar Eagel & Squire, P.C.
Brandon Walker, Esq.
Melissa Fortunato, Esq.