NEW YORK, April 27, 2023 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, is investigating potential claims against Affirm Holdings, Inc. (NASDAQ: AFRM) on behalf of long-term stockholders following a class action complaint that was filed against Affirm on March 1, 2022 who purchased or otherwise acquired Affirm securities on February 10, 2022 after approximately 1:15pm EST. Our investigation concerns whether the board of directors of Affirm have breached their fiduciary duties to the company.
Affirm purports to be a “next generation platform for digital and mobile-first commerce.” Through its platform, the Company offers “buy now, pay later” or “BNPL” services to consumers. Affirm represents itself “a more flexible and transparent alternative to credit cards.”
At approximately 1:15 p.m. on February 10, 2022, Affirm issued a Tweet from its official account in which the Company disclosed certain metrics from its second quarter 2022 financial results. The Tweet, which was published prior to the Company’s planned release of its financial results, portrayed a highly successful quarter, which included an increase in revenue of 77%. This caused Affirm’s share price to spike nearly 10% in intra-day trading.
The Tweet was materially misleading, in that it omitted to disclose the full details of Affirm’s second quarter financial results.
Indeed, the Company deleted the Tweet and released its full second quarter financial results ahead of schedule. The full financial results were lackluster – with the Company posting a loss of $0.57 per share, compared with analyst expectations of $0.37 per share.
On this news, Affirm’s share price plummeted from an intra-day high of $83.57 per share on February 10, 2022, to close at $58.68 per share, or approximately 32%.
If you are a long-term stockholder of Affirm, have information, would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Brandon Walker or Marion Passmore by email at email@example.com, by telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you.
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Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York and California. The firm represents individual and institutional investors in commercial, securities, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.