Methode Electronics Investors Urged to Take Action on Lawsuit

Author: Thomas Cooper Updated: 09-17-2024 10:28 PM

Overview of the Class Action Lawsuit Against Methode Electronics

Kahn Swick & Foti, LLC, led by former Louisiana Attorney General Charles C. Foti, Jr., is urging investors who have experienced losses exceeding $100,000 to consider their options in a class action lawsuit against Methode Electronics, Inc. (MEI). The deadline for investors to file lead plaintiff applications is approaching, set for October 25, 2024, for those who purchased shares of the company between June 23, 2022, and March 6, 2024. This ongoing legal action is currently being held in the United States District Court for the Northern District of Illinois.

What Should Investors Do Next?

If you are one of the investors affected by the recent financial challenges faced by Methode Electronics, it is critical to understand your rights and the legal steps available to you. Investors who wish to engage in this lawsuit can reach out to KSF Managing Partner Lewis Kahn toll-free at 1-877-515-1850. KSF provides consultations free of obligation to determine your possible path for recovery. Email communication is also available through lewis.kahn@ksfcounsel.com. Furthermore, additional information can be accessed by visiting KSF's website.

Background on the Legal Charges

The class action lawsuit alleges that Methode Electronics and its executives failed to reveal vital information about the company's financial health during the specified class period. This lack of transparency is seen as a violation of federal securities laws, which are meant to protect investors by ensuring timely and truthful disclosures.

Recent Financial Performance of Methode Electronics

In a significant development, on March 7, 2024, Methode Electronics revealed its financial results for the third quarter of 2024. News broke that the Automotive Segment achieved net sales totaling only $139.7 million, plagued by an operational loss of $11 million. This alarming performance led the company to retract its previous guidance, attributing the challenges significantly to ongoing issues at its Monterrey facility, indicating that prior financial forecasts could no longer be trusted.

Following this disappointing announcement, the share price of Methode plunged by 31% in a single day. The stock price fell from $21.04 to $14.49, illustrating the anxieties of investors in response to these alarming results, and highlighting the necessity for transparent communication from the management with its shareholders.

About Kahn Swick & Foti, LLC

Kahn Swick & Foti, LLC is recognized as one of the foremost boutique law firms specializing in securities litigation across the country. The firm, under the leadership of Charles C. Foti, Jr., focuses on assisting various clients, including institutional investors and retail investors, in seeking resolutions for investment losses resulting from instances of corporate wrongdoing. KSF holds offices in several states, including New York, Delaware, and California.

Contact Details of Kahn Swick & Foti, LLC

For further inquiries, the firm can be reached at:

Lewis Kahn, Managing Partner
lewis.kahn@ksfcounsel.com
1-877-515-1850
1100 Poydras St., Suite 960
New Orleans, LA 70163

Frequently Asked Questions

What is the lead plaintiff deadline for Methode Electronics?

The lead plaintiff deadline for Methode Electronics is October 25, 2024, for those who qualify under the defined class period.

Who is Kahn Swick & Foti, LLC?

Kahn Swick & Foti, LLC is a leading law firm specializing in securities litigation that represents investors seeking to recover losses.

What are the allegations against Methode Electronics?

The allegations involve failure to disclose material financial information during the class period, thereby violating federal securities laws.

How did Methode Electronics' share price react to recent disclosures?

Shares of Methode Electronics fell by 31% following the release of disappointing financial results, reflecting investor concern and loss of confidence.

How can investors involved in the lawsuit contact Kahn Swick & Foti?

Investors can contact Kahn Swick & Foti toll-free at 1-877-515-1850 or via email at lewis.kahn@ksfcounsel.com.

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