NEW YORK--(BUSINESS WIRE)--Robbins Geller Rudman & Dowd LLP (“Robbins Geller”) (http://www.rgrdlaw.com/cases/dell1/) today announced that a class action has been commenced on behalf of an institutional investor in the United States District Court for the Southern District of New York on behalf of purchasers of Dell Inc. (“Dell”) (Nasdaq:DELL) common stock between February 22, 2012 and May 22, 2012, inclusive (the “Class Period”), seeking to pursue remedies under the Securities Exchange Act of 1934 (the “Exchange Act”).
If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from today. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff’s counsel, Samuel H. Rudman or David A. Rosenfeld of Robbins Geller at 800/449-4900 or 619/231-1058, or via e-mail at email@example.com. If you are a member of this class, you can view a copy of the complaint as filed or join this class action online at http://www.rgrdlaw.com/cases/dell1/. 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.
The complaint charges Dell and certain of its officers and directors with violations of the Exchange Act. During the Class Period, as alleged in the complaint, defendants issued materially false and misleading statements regarding the Company’s financial performance and future prospects and failed to disclose adverse facts, including that: (i) Dell was experiencing severe market pricing pressures associated with its notebook and desktop personal computer (“PC”) products, particularly in its European, Middle Eastern and African (“EMEA”) and Asia-Pacific, Japanese (“APJ”) markets; (ii) as a result of such extreme pricing pressures, Dell’s management issued a directive not to pursue certain notebook and desktop PC sales in its EMEA and APJ markets; (iii) Dell was experiencing weakening demand for its notebook and desktop PC products, particularly in its EMEA and APJ markets; and (iv) Dell was experiencing material undisclosed operational deficiencies within is sales function that were adversely impacting its Large Enterprise and Public business segments.
On May 22, 2012, after the close of trading, Dell issued a press release disclosing that revenues for its fiscal 2013 first quarter, the period ended May 4, 2012, were $14.4 billion, approximately one-half billion dollars less than Dell’s guidance and Wall Street estimates. Dell also disclosed that it was projecting revenues of just $14.7 to $15 billion for its fiscal 2013 second quarter, when securities analysts, based on defendants’ Class Period statements, had been projecting revenues of $15.4 billion. In response to these revelations, the price of Dell stock fell from its May 22, 2012 closing price of $15.08 per share to close at $12.49 per share on May 23, 2012, a decline of $2.59 per share, or more than 17%, its largest single-day decline in over 11 years, on extremely high volume of more than one billion shares traded, or approximately six times the average daily trading volume during the Class Period.
Plaintiff seeks to recover damages on behalf of all purchasers of Dell common stock during the Class Period (the “Class”). The plaintiff is represented by Robbins Geller, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.
Robbins Geller, with more than 200 lawyers in ten offices, represents U.S. and international institutional investors in contingency-based securities and corporate litigation. The firm has obtained many of the largest securities class action recoveries in history, including the largest jury verdict ever in a securities class action. Please visit http://www.rgrdlaw.com for more information.