NEW YORK, Sept. 22, 2016 (GLOBE NEWSWIRE) -- Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC notifies investors that a securities class action has been filed in the United States District Court, Northern District of California on behalf of those who purchased shares of Twitter, Inc. (“Twitter” or the “Company”) (NYSE: TWTR ) between February 6, 2015 and July 28, 2015 both dates inclusive (the “Class Period”).
This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934 (the “Exchange Act”).
Twitter is an online global social networking service that enables users to send and read short 140-character messages called "tweets." Twitter’s main source of revenue is advertising. Advertising income is driven by the number of users and the level of engagement of such users.
The complaint alleges that during the Class Period, the Company made materially false and/or misleading statements and/or failed to disclose: (1) that by early 2015, Twitter’s daily active users (DAUs) had switched the timeline views metric as the main user engagement metric which is tracked internally by Twitter management; (2) that the trend in user engagement growth was lessening; (3) that new product initiatives were not having a significant impact on monthly active users (MAUs) or user engagement; (4) that Twitter stated “acceleration” was the result of low-quality monthly active user growth; (5) and that Twitter lacked a basis for its previously disclosed estimates of about 20% MAU growth and 550 million MAU in the immediate term.
On April 28, 2015, Twitter announced its first quarter 2015 financial results and its projections for the second quarter of 2015, with an estimated second quarter revenue between $470 million to $485 million. Twitter also reduced its full year 2015 revenue forecast from a previous guidance of $2.35 billion to $2.30 billion, and from $2.27 billion to $2.17 billion. Following this news, Twitter stock dropped $9.39 per share, or 18.18%, to close at $42.27 on April 28, 2015. Later, on July 28, 2015, post-market, Twitter announced its second quarter 2015 financial results and projections for the third quarter of 2015, estimating revenue between $545 million to $560 million. Twitter also projected revenue for 2015 full year in the range of $2.20 billion to $2.27 billion. Following this news, Twitter stock dropped $5.30 per share, or 14.51%, to close at $31.24 on July 29, 2015.
No Class has yet been certified in the above action. To discuss this action, or for any questions, please visit the firm’s site: http://www.bgandg.com/twtr or contact Peretz Bronstein, Esq. or his Investor Relations Analyst, Yael Hurwitz of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484 or via email info@bgandg.com . Those who inquire by e-mail are encouraged to include their mailing address and telephone number. If you suffered a loss in Twitter, you have until November 15, 2016 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm’s expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.
Contact: Bronstein, Gewirtz & Grossman, LLC Peretz Bronstein or Yael Hurwitz 212-697-6484 | info@bgandg.com
