SHAREHOLDER ALERT: OrthoPediatrics Corp. Investigated for Possible Securities Laws Violations by Block & Leviton LLP; Investors Should Contact the Firm?
ACCESSWIRE, 14 January 2021
According to the complaint, throughout the Class Period, Defendants misrepresented and concealed that (1) ACM Research’s revenues and profits were diverted to undisclosed related parties, and (2) consequently, the company materially overstated its revenues and profits.
Investors allegedly began to learn the truth on Oct. 8, 2020, when J Capital Research published a report entitled “Dirty business,” bringing ACM Research’s reported financials into serious question.
More specifically, J Capital concludes ACM Research is a fraud, over-reporting both revenue and profit. According to the report, “ACMR reports industry-beating gross margins of 47%” but “[w]e believe the real gross margins are half at the best.” J Capital also concludes revenues are overstated by 15-20%, undisclosed related parties are diverting revenue and profit from the company, the key means by which ACMR tunnels over-reported profit out of the company may be through about $20 million in overstated inventory and through cash that is inflated or compromised, and warranty and service costs are understated by at least $11 million.
Continue reading “Article: SHAREHOLDER ALERT: OrthoPediatrics Corp. Investigated for Possible Securities Laws Violations by Block & Leviton LLP; Investors Should Contact the Firm”
Glancy Prongay & Murray LLP, a Leading Securities Fraud Law Firm, Announces Investigation of OrthoPediatrics Corp. (KIDS) on Behalf of Investors
BUSINESS WIRE, 05 January 2021
On December 2, 2020, Culper Research issued a report entitled “OrthoPediatrics Corp. (KIDS): Even Channel Stuffing Can’t Save This Company,” alleging that the Company “engaged in a channel stuffing scheme that has systematically and significantly overstated revenues.” Citing interviews with distributors and former executives, the report alleged that “distributors have been induced to buy excess product directly from the Company in exchange for (a) equity-based awards, (b) the opportunity to return product, and/or (c) product discounts or increased commission schedules.” On this news, the Company’s stock price fell $4.12 per share, or 9%, to close at $41.02 per share on December 2, 2020, thereby injuring investors.
Continue reading “Article: Glancy Prongay & Murray LLP, a Leading Securities Fraud Law Firm, Announces Investigation of OrthoPediatrics Corp. (KIDS) on Behalf of Investors”
Berman Tabacco Investigates OrthoPediatrics Corp. (KIDS) on Behalf of Investors Concerning Potential Violations of Federal Securities Laws
ACCESSWIRE, 03 December 2020
Berman Tabacco, a national law firm representing investors, is investigating potential violations of the federal securities laws by OrthoPediatrics Corp. (“OrthoPediatrics” or the “Company”) (NASDAQ:KIDS) and its officers and directors. OrthoPediatrics is a medical device company based in Warsaw, Indiana. The Company designs, develops, and commercializes orthopedic implants and instruments for children with orthopedic conditions. On December 2, 2020, Culper Research issued a report asserting that it believed that OrthoPediatrics “overstated revenues.” On this news, the Company’s common shares were trading down by as much as 13% on heavy volume.
Continue reading “Article: Berman Tabacco Investigates OrthoPediatrics Corp. (KIDS) on Behalf of Investors Concerning Potential Violations of Federal Securities Laws”