San Diego, CA -- (SBWire) -- 04/30/2021 --An investor in Merit Medical Systems, Inc. (NYSE: MMSI) shares filed a lawsuit in December 2019, against Merit Medical Systems, Inc. over alleged violations of Federal Securities Laws.
Investors who purchased shares of Merit Medical Systems, Inc. (NYSE: MMSI) prior to February 2019 and continue to hold any of those shares, have also certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
After the market closed on July 25, 2019, Merit Medical Systems, Inc announced its financial and operating results for the second quarter of 2019. Merit Medical Systems, Inc announced net income of $6.9 million, or $0.12 per share, compared to $10.9 million, or $0.21 per share for the same period in the prior year. Merit Medical's Chairman and Chief Executive Officer, Fred P. Lampropoulos, cited "a number of factors affecting revenues and gross margins during the second quarter," including "foreign exchange [and] slower than anticipated conversion and uptake of acquired products."
Then, on October 30, 2019, Merit Medical Systems, Inc. announced its third quarter 2019 financial results, reporting adjusted earnings per share well below consensus estimates, and slashed fiscal 2019 revenue and earnings per share guidance by 20%. Furthermore, Merit Medical Systems, Inc. stated that, in addition to the fiscal 2019 guidance cut, "2020 guidance [was] off the table" until they had reasonable confidence in their forecasting ability, and reported significant operational issues in all aspects of Merit's business, conceding that many of these failures were due to their "own overestimation and forecasting."
On December 3, 2019, a lawsuit was filed against Merit Medical Systems, Inc. over alleged securities laws violations. The plaintiff claimed that the defendants failed to disclose that the integrations of Cianna and Vascular Insights, including their products, sales people, and R&D facilities, had caused operational disruptions and reduced sales and were months behind schedule, that sales of acquired company products had slowed substantially due to pre-acquisition pipeline fill, in particular for Vascular Insights products which, as late as July 2019, had zero orders during fiscal 2019, and that in light of the foregoing, the Company's reported financial guidance for fiscal 2019 and 2020 was made without a reasonable basis.
On June 30, 2020, a consolidated complaint was filed and the defendants filed their Motion to Dismiss the consolidated Complaint on August 14, 2020.
On March 29, 2021, the court denied the defendants' motion to dismiss.
Those who purchased shares of Merit Medical Systems, Inc. (NYSE: MMSI) have certain options and should contact the Shareholders Foundation.
Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com
About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, , which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigation, and/or settlements are not filed/reached and/or related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
NYSE:MMSI Investor Notice: Update in Lawsuit Against Merit Medical Systems, Inc. (NYSE:MMSI)
A lawsuit is pending on behalf of investors in Merit Medical Systems, Inc. (NYSE:MMSI) shares and NYSE: MMSI investors should contact the Shareholders Foundation.