NEW YORK, Sept. 26, 2024 (GLOBE NEWSWIRE) -- Lowey Dannenberg P.C., a preeminent law firm in obtaining redress for consumers and investors, announces the filing of a class action lawsuit against Methode Electronics, Inc. (“Methode Electronics” or the “Company”) (NYSE: MEI) for violations of the federal securities laws on behalf of investors who purchased or acquired Methode Electronics common stock between June 23, 2022 and March 6, 2024, inclusive (the “Class Period”).
On August 26, 2024, a complaint was filed against the Company and certain of its former officers alleging that throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Company had lost highly skilled and experienced employees during the COVID-19 pandemic necessary to successfully complete Methode Electronics’ transition from its historic low mix, high volume production model to a high mix, low production model at its Monterrey facility; (ii) the Company’s attempts to replace its General Motors center console production with more diversified, specialized products for a wider array of vehicle manufacturers and OEMs, in particular in the electric vehicle (“EV”) space, had been plagued by production planning deficiencies, inventory shortages, vendor and supplier problems, and, ultimately, botched execution of Methode Electronics’ strategic plans; (iii) the Company’s manufacturing systems at its critical Monterrey facility suffered from a variety of logistical defects, such as improper system coding, shipping errors, erroneous delivery times, deficient quality control systems, and failures to timely and efficiently procure necessary raw materials; (iv) the Company had fallen substantially behind on the launch of new EV programs out of its Monterrey facility, preventing the Company from timely receiving revenue from new EV program awards; and (v) as a result, the Company was not on track to achieve the 2023 diluted earnings-per-share guidance (i.e., “EPS”) or the 3-year 6% organic sales compound annual growth rate (i.e., “CAGR”) represented to investors and such estimates lacked a reasonable factual basis.
When investors learned the truth, Methode Electronics’ common stock declined precipitously, injuring investors.
If you suffered a loss of more than $100,000 in Methode Electronics’ securities, and wish to participate, or learn more, click here, or please contact our attorneys at (914) 733-7256 or via email to Andrea Farah (afarah@lowey.com) or Vincent R. Cappucci Jr. (vcappucci@lowey.com).
Any investor who wishes to serve as Lead Plaintiff must act before October 25, 2024.
About Lowey Dannenberg
Lowey Dannenberg is a national firm representing institutional and individual investors, who suffered financial losses resulting from corporate fraud and malfeasance in violation of federal securities and antitrust laws. The firm has significant experience in prosecuting multi-million-dollar lawsuits and has recovered billions of dollars on behalf of its clients.
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Lowey Dannenberg P.C.
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Tel: (914) 733-7234
Email: investigations@lowey.com
SOURCE: Lowey Dannenberg P.C.
