PHILADELPHIA, Aug. 14, 2019 (GLOBE NEWSWIRE) — Kaskela Law LLC announces that a shareholder class action lawsuit has been filed against Pivotal Software, Inc. (NYSE: PVTL) (“Pivotal” or the “Company”) on behalf of investors who purchased shares of the Company’s common stock between April 24, 2018 and June 4, 2019, inclusive (the “Class Period”).
Pivotal investors are encouraged to contact Kaskela Law LLC (D. Seamus Kaskela, Esq.) at (484) 258 – 1585 or (888) 715 – 1740, or via http://kaskelalaw.com/case/pivotal-software-inc/, for additional information about this action and to discuss their legal rights and options.
As detailed in the complaint, on June 4, 2019, Pivotal reported its financial and operational results for the first quarter of fiscal 2020 and disclosed to investors that “sales execution and a complex technology landscape impacted the quarter.” Notably, a Wedbush Securities analyst characterized the Company’s quarterly operating results as “disastrous,” and asserted that Pivotal’s “management team does not have a handle on the underlying issues negatively impacting its sales cycles and the activity in the field which gives us concern that this quarter will be the start of some ‘dark days ahead’ for Pivotal (and its investors).”
Following this news, shares of Pivotal’s stock fell from $18.54 per share to $10.89 per share, a decline of $7.65 per share, or over 40% in value, on heavy trading volume.
Among other things, the shareholder complaint alleges that Pivotal issued a series of false and misleading statements during the Class Period, and failed to disclose to investors that: (i) Pivotal was facing major problems with its sales execution and a complex technology landscape; (ii) the foregoing headwinds resulted in deferred sales, lengthening sales cycles, and diminished growth as its customers and the industry’s sentiment shifted away from Pivotal’s principal products because Pivotal’s products were outdated, inadequate, and incompatible with the industry-standard platform; and (iii) as a result, Pivotal’s public statements were materially false and misleading at all relevant times.
IMPORTANT DEADLINE: Investors who purchased Pivotal’s common stock during the Class Period may, no later than August 19, 2019, seek to be appointed as a lead plaintiff in the action.
Pivotal investors are encouraged to contact Kaskela Law LLC to discuss this action and their legal rights and options. Kaskela Law LLC exclusively represents investors in state and federal actions throughout the country. For additional information about Kaskela Law LLC please visit www.kaskelalaw.com.