Quantum Corp (NYSE:QTM) Investor Securities Class Action Lawsuit 02/13/2018

If you purchased a significant amount of shares of Quantum Corp (NYSE:QTM) between May 10, 2016 and February 7, 2018, and / or if you purchased any NYSE:QTM shares prior to May 2016 and continue to hold any of those shares, you have certain options and for certain investors are short and strict deadlines running. Deadline: April 16, 2018. NYSE:QTM 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): 
Quantum
Case Name: 
Quantum Shareholder Class Action Lawsuit 02/13/2018
Case Status: 
Lawsuit Filed
Affected Securities
NYSE: QTM
Lawsuit Overview
Type of Lawsuit: 
Shareholder Class Action
Date Filed: 
02/13/2018
Class Period Begin: 
05/10/2016
Class Period End: 
02/07/2018
Court of Filing: 
U.S. District Court for the Northern District of California
Deadline To File for Lead: 
04/16/2018
Summary: 

An investor in shares of Quantum Corp (NYSE:QTM) filed a lawsuit in the U.S. District Court for the Northern District of California over alleged violations of Federal Securities Laws by Quantum Corp in connection with certain allegedly false and misleading statements made between May 10, 2016 and February 7, 2018.

San Jose, CA based Quantum Corporation focuses on scale-out storage, archive and data protection, providing solutions for capturing, sharing, managing and preserving digital assets over the entire data lifecycle. Quantum Corp reported that its Total Revenue rose from $475.96 million for the 12 months period that ended on March 31, 2016 to $505.35 million for the 12 months period that ended on March 31, 2017 and that its Net loss of $76.39 million for the 12 months period that ended on March 31, 2016 turned into a Net Income of $3.65 million for the 12 months period that ended on March 31, 2017.

On February 8, 2018, Quantum Corp announced that it received a subpoena from the Securities and Exchange Commission (“SEC”) on January 11, 2018 regarding its accounting practices and internal controls related to revenue recognition for transactions commencing April 1, 2016. Quantum Corp further stated it was postponing the release of its fiscal third quarter 2018 results and earnings conference call so that its audit committee could complete an investigation into Quantum’s accounting matters and related internal controls. Shares of Quantum Corp (NYSE: QTM) declined on February 8, 2018 to as low as $3.42 per share.

According to the complaint the plaintiff alleges on behalf of purchasers of Quantum Corp (NYSE:QTM) common shares between May 10, 2016 and February 7, 2018, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between May 10, 2016 and February 7, 2018, the Defendants failed to disclose that Quantum Corp was inappropriately recognizing certain revenues since at least April 2016, that Quantum Corp lacked adequate controls over accounting and financial reporting, that as a result Quantum Corp was subject to increased regulatory scrutiny and potential fines, and that, as a result of the foregoing, Defendants’ statements about Quantum’ business, operations, and prospects, were materially false and/or misleading and/or lacked a reasonable basis.