Omnicell, Inc. (NASDAQ: OMCL) Investor Securities Class Action Lawsuit 07/18/2019

If you purchased a significant amount of shares of Omnicell, Inc. (NASDAQ: OMCL) between October 25, 2018 and July 11, 2019, and / or if you purchased any NASDAQ: OMCL shares prior to October and continue to hold any of those shares, you have certain options and for certain investors are short and strict deadlines running. Deadline: September 16, 2019. NASDAQ: OMCL investors should contact the Shareholders Foundation, Inc.

To have your information reviewed for options and to recieve notifications about this case, please use this form. You may also send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Company Name(s): 
Omnicell
Case Name: 
Omnicell Shareholder Class Action Lawsuit 07/18/2019
Case Status: 
Lawsuit Filed
Affected Securities
NASDAQ: OMCL
Lawsuit Overview
Type of Lawsuit: 
Shareholder Class Action
Date Filed: 
07/18/2019
Class Period Begin: 
10/25/2018
Class Period End: 
07/11/2019
Court of Filing: 
U.S. District Court for the Northern District of California
Deadline To File for Lead: 
09/16/2019
Summary: 

An investor in shares of Omnicell, Inc. (NASDAQ: OMCL) filed a lawsuit in the U.S. District Court for the Northern District of California over alleged violations of Federal Securities Laws by Omnicell, Inc. in connection with certain allegedly false and misleading statements made between October 25, 2018 and July 11, 2019.

Mountain View, CA based Omnicell, Inc. provides medication and supply dispensing automation, central pharmacy automation, analytics software, and medication adherence solutions for the healthcare industry worldwide. Omnicell, Inc. reported that its annual Total Revenue rose from $712.71 million in 2017 to $787.3 million in 2018 and that its Net Income increased from $30.51 million in 2017 to $37.72 million in 2018.

Shares of Omnicell, Inc. (NASDAQ: OMCL) grew from $25.21 per share in 2016 to as high as $92.59 per share on June 17, 2019.

On July 10, 2019, a report was published alleging Omnicell, Inc obfuscated its financials over the past two years "by using a variety of accounting gimmicks." After analyzing Omnicell's accounts receivable (AR), inventory, and capitalized expense diagnostics, the report concluded that Omnicell, Inc has prematurely recognized over $38 million in sales revenue, failed to write-off over $23 million in obsolete inventory, and has misclassified and accelerated the capitalization of over $38 million in expenses.

Shares of Omnicell, Inc. (NASDAQ: OMCL) declined to $67.30 per share on July 12, 2019.

According to the complaint the plaintiff alleges on behalf of purchasers of Omnicell, Inc. (NASDAQ: OMCL) common shares between October 25, 2018 and July 11, 2019, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between October 25, 2018 and July 11, 2019, the Defendants failed to disclose to investors that the Company recognized revenue for certain transactions before fulfilling its performance obligations, that the Company engaged in improper accounting practices to meet revenue targets, that the Company experienced weaker demand for new product lines than it had previously projected, that, as a result, the Company would be required to write-off certain inventory, that the Company misclassified certain expenses as capitalized expenditures, and that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations