RADNOR, Pa., July 11, 2024 (GLOBE NEWSWIRE) — The law firm of Kessler Topaz Meltzer & Check, LLP (www.ktmc.com) informs investors that a securities class action lawsuit has been filed in the United States District Court for the Northern District of California against Fastly, Inc. (“Fastly”) (NYSE: FSLY). The action charges Fastly with violations of the federal securities laws, including omissions and fraudulent misrepresentations relating to the company’s business, operations, and prospects. As a result of Fastly’s materially misleading statements and omissions to the public, Fastly’s investors have suffered significant losses.
If you suffered Fastly losses, you may CLICK HERE or go to: https://www.ktmc.com/new-cases/fastly-inc?utm_source=PR&utm_medium=link&utm_campaign=fsly&mktm=r
You can also contact attorney Jonathan Naji, Esq. of Kessler Topaz by calling (484) 270-1453 or by email at info@ktmc.com. The lead plaintiff deadline is July 23, 2024.
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DEFENDANTS’ ALLEGED MISCONDUCT
On February 14, 2024, Fastly issued a press release providing full year (“FY”) 2024 revenue guidance in a range of $580 million to $590 million. In that same press release, Fastly’s CEO was quoted stating, “[t]his quarter demonstrated the progress we’ve made in operational and financial rigor resulting in strong gross margins and non-GAAP net income,” and “[o]ur go-to-market, packaging and channel efforts through 2023 delivered an inflection in our customer acquisition as we closed out the year. This positions us well for 2024, driving our mission to make every user experience fast, safe, and engaging.”
On May 1, 2024, Fastly announced its Q1 2024 results. Despite Fastly’s positive statements just weeks before about its performance and near-term business prospects, Fastly reported revenue of only $133.52 million, missing consensus estimates. Fastly also lowered its fiscal year 2024 revenue guidance to a range of $555 million to $565 million, significantly below its previously issued FY 2024 revenue guidance of $580 million to $590 million, and likewise below consensus estimates of $584.62 million for the same period.
Then, on May 2, 2024, Bank of America downgraded Fastly stock from a “Buy” rating to an “Underperform” rating and cut its price target on the stock from $18 per share to a mere $8 per share. On this news, the price of Fastly shares declined by $4.14 per share, or approximately 32.02%, from $12.93 per share on May 1, 2024 to close at $8.79 on May 2, 2024.
WHAT CAN I DO?
Fastly investors may, no later than July 23, 2024, seek to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check, LLP or other counsel, or may choose to do nothing and remain an absent class member. Kessler Topaz Meltzer & Check, LLP encourages Fastly investors who have suffered significant losses to contact the firm directly to acquire more information. The class action complaint against Fastly, Kula v. Fastly, Inc., et al., Case No. 24-cv-03170, is filed in the United States District Court for the Northern District of California.
CLICK HERE TO SIGN UP FOR THE CASE OR GO TO: https://www.ktmc.com/new-cases/fastly-inc?utm_source=PR&utm_medium=link&utm_campaign=fsly&mktm=r
WHO CAN BE A LEAD PLAINTIFF?
A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. The lead plaintiff is usually the investor or small group of investors who have the largest financial interest and who are also adequate and typical of the proposed class of investors. The lead plaintiff selects counsel to represent the lead plaintiff and the class and these attorneys, if approved by the court, are lead or class counsel. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
ABOUT KESSLER TOPAZ MELTZER & CHECK, LLP
Kessler Topaz Meltzer & Check, LLP prosecutes class actions in state and federal courts throughout the country and around the world. The firm has developed a global reputation for excellence and has recovered billions of dollars for victims of fraud and other corporate misconduct. All of our work is driven by a common goal: to protect investors, consumers, employees and others from fraud, abuse, misconduct and negligence by businesses and fiduciaries. The complaint in this action was not filed by Kessler Topaz Meltzer & Check, LLP. For more information about Kessler Topaz Meltzer & Check, LLP please visit www.ktmc.com.
CONTACT:
Jonathan Naji, Esq.
Kessler Topaz Meltzer & Check, LLP
(484) 270-1453
280 King of Prussia Road
Radnor, PA 19087
info@ktmc.com
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