LOS ANGELES--(BUSINESS WIRE)--Goldberg Law PC, a national shareholder rights litigation firm, announces the filing of a class action lawsuit against Zimmer Biomet Holdings, Inc. (“Zimmer” or the “Company”) (NYSE: ZBH). Investors who purchased or otherwise acquired Zimmer shares between September 7, 2016 and October 31, 2016 inclusive (the “Class Period”), are encouraged to contact the firm in advance of the January 31, 2017 lead plaintiff motion deadline.
If you are a shareholder who suffered a loss during the Class Period, click here to participate. In addition, we encourage you to contact Michael Goldberg or Brian Schall, of Goldberg Law PC, 1999 Avenue of the Stars, Suite 1100, Los Angeles, CA 90067, at 800-977-7401, to discuss your rights free of charge. You can also reach us through the firm’s website at http://www.Goldberglawpc.com, or by email at info@goldberglawpc.com.
The class in this case has not yet been certified, and until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.
The complaint alleges that during the Class Period, Zimmer made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. In particular, it is claimed: that the problems within the supply chain led to a decline in order fulfillment, especially within the knee and hip portfolios; that, as a result, the Company would not achieve its revenues and profit as anticipated and; that as a result of the above, the Company’s statements regarding its business, operations and prospects, were false and misleading and/or lacked a reasonable basis.
On October 31, 2016, Zimmer published a press release reporting third quarter 2016 financial results. Zimmer reported net sales of $1.83 billion, and lowered guidance for the full year 2016 at $7.630 billion to $7.650 billion, a decline from the $7.68 billion to $7.715 billion estimated in July. The Company claimed that weak sales are the result of a change in the supply chain, leading to a lack of available implants and instrument sets during the quarter.
In a conference call with investors following the above release, Zimmer stated: “Third quarter revenue was below our expectations, primarily due to execution issues within our large joint supply chain, which led to a degradation in order fulfillment rates late in the quarter as well as our performance in dental… As a consequence, we underestimated demand for certain key cross-sell brands within our existing customer base, leading to a depletion of our safety stocks and also affecting our ability to capitalize on new customer opportunities.”
On this news shares of Zimmer fell $17.15 per share, or nearly 14%, to close on October 31, 2016 at $105.40 per share, causing investors severe harm.
Goldberg Law PC represents shareholders around the world and specializes in securities class actions and shareholder rights litigation.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
