CrowdStrike Shareholders Alert: Important Legal Updates

Author: Addison Perry Updated: 09-13-2024 10:54 PM

Important Notice for CrowdStrike Shareholders

Kahn Swick & Foti, LLC, a respected law firm, has issued a reminder to investors of CrowdStrike Holdings, Inc. (NASDAQ: CRWD) regarding significant deadlines related to a class action lawsuit. If you have incurred losses exceeding $100,000 while purchasing CrowdStrike shares, it is vital to understand your legal rights and options.

Class Action Lawsuit Overview

This class action lawsuit targets CrowdStrike and certain executives for allegedly failing to disclose critical information that may have affected investors during the Class Period, which extends from late November to late July.

Nature of the Allegations

The allegations stem from an incident on July 19 that resulted in widespread outages for numerous Microsoft Windows users. This disruption affected various sectors, including financial institutions and airlines, leaving countless users vulnerable to cybersecurity threats. Following the incident, CrowdStrike shares suffered a significant drop, reflecting investor concern over the company's ability to manage such crises.

Impact on Share Prices

The fallout from the company's actions led to a substantial decline in stock prices. On July 19, the stock closed at $304.96, a fall of 11%. A further drop occurred on July 22, dropping to $263.91 due to additional revelations concerning congressional testimony and downgrades by analysts. Another wave of negative news followed, particularly concerning legal actions sought by Delta Air Lines, culminating in a stock price of $233.65 by the end of July.

What Investors Should Do

If you purchased CrowdStrike shares and are concerned about your rights or the implications of this lawsuit, you can reach out to Kahn Swick & Foti, LLC. They offer consultations to discuss how the lawsuit might affect your investment and what steps you can take moving forward.

Deadline for Lead Plaintiff Applications

It’s crucial for affected shareholders to note that the deadline to apply as a lead plaintiff in this case is approaching on September 30, 2024. Prospective applicants should act quickly to ensure their voices are heard in this important legal matter.

About Kahn Swick & Foti, LLC

Founded by experienced attorneys, Kahn Swick & Foti, LLC specializes in securities litigation. With an impressive track record, they represent clients ranging from public institutional investors to retail investors aiming to recover losses associated with corporate fraud or mismanagement. They maintain offices across several states, demonstrating a commitment to serving a diverse client base.

Frequently Asked Questions

What is the purpose of the class action lawsuit against CrowdStrike?

The lawsuit aims to address allegations that CrowdStrike and its executives failed to disclose material information that impacted investors during a specific time frame.

Who can file as a lead plaintiff?

Investors who experienced losses exceeding $100,000 from purchasing stock during the specified period can apply to serve as lead plaintiff.

What is the deadline for filing lead plaintiff applications?

The deadline is September 30, 2024, and it's essential for investors to act before this date.

How can investors learn more about their rights?

Investors can contact Kahn Swick & Foti, LLC for a free consultation to discuss their legal rights and the potential impact of the lawsuit on their investments.

What issues did the Company face that led to the lawsuit?

The company faced significant backlash due to a major disruption of services affecting millions of users, which led to substantial stock price declines and calls for accountability.

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