NEW YORK, April 17, 2024 (GLOBE NEWSWIRE) -- Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against QuidelOrtho Corporation (“QuidelOrtho” or the “Company”) (NASDAQ: QDEL) and reminds investors of the June 11, 2024 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses Exceeding $100,000 In QuidelOrtho To Contact Him Directly To Discuss Their Options
If you suffered losses exceeding $100,000 investing in QuidelOrtho stock or options between February 18, 2022 and April 1, 2024 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310). You may also click here for additional information: www.faruqilaw.com/QDEL.
Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.
The Complaint alleges that throughout the Class Period, Defendants misled investors by making statements that were false and misleading when made because they knew or deliberately disregarded and failed to disclose the following adverse facts about QuidelOrtho’s business, operations, and prospects: (1) that QuidelOrtho sold more COVID-19 tests to its distributors and pharmacy chain customers than they could resell to healthcare providers and end customers; (2) that excess inventories of COVID-19 tests existed throughout the supply chain; (3) that, as a result of (1)-(2) above, QuidelOrtho’s distributors and pharmacy chain customers were poised to significantly reduce their COVID-19 test orders; (4) that undisclosed problems created a heightened risk that the Savanna RVP4 Test would experience a delayed commercial launch in the United States; (5) that, as a result of (1)-(4) above, Defendants lacked a reasonable basis for their positive statements about QuidelOrtho’s business, financials, and growth trajectory.
The truth began about these undisclosed issues began to emerge on February 13, 2024, when, according to the Complaint, QuidelOrtho reported underwhelming results for its fourth quarter ended December 31, 2023. Among other things, the Company’s Adjusted Earnings Per Share was 46% below the midpoint of Wall Street analysts’ expectations. This miss was largely attributed to lower endemic COVID-19 revenues during the quarter due to distributor destocking. The Company also slashed its 2024 financial forecasts, including a drastic cut to its COVID-19 revenue guidance.
On this news, the price of QuidelOrtho stock dropped $21.50, or more than 32 percent, to close at $45.27 on February 14, 2024.
On February 21, 2024, QuidelOrtho announced that its Board of Directors terminated Defendant Bryant from his positions as President and Chief Executive Officer of the Company. Defendant Bryant also resigned from the Company’s Board, effective February 21, 2024. Then, on April 2, 2024, QuidelOrtho announced that it had withdrawn its FDA 510(k) submission for approval to sell the Savanna RVP4 Test in the United States after recent data did not meet expectations.
On this news, the price of QuidelOrtho stock dropped $4.85, or more than 10 percent, to close at $42.15 on April 2, 2024.
According to the Complaint, as a result of Defendants’ wrongful acts and omissions, and the resulting decline in the market value of QuidelOrtho’s stock, QDEL investors suffered significant losses and damages under the federal securities laws.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding QuidelOrtho’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
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