LOS ANGELES--(BUSINESS WIRE)--Glancy Prongay & Murray LLP (“GPM”) announces that a class action lawsuit has been filed on behalf of investors who purchased or otherwise acquired The Allstate Corporation (“Allstate” or the “Company”) (NYSE:ALL) securities between October 30, 2014 and August 3, 2015, inclusive (the “Class Period”). Allstate investors have until January 9, 2017 to file a lead plaintiff motion.
Investors suffering losses on their Allstate investments are encouraged to contact Lesley Portnoy of GPM to discuss their legal rights in this class action at 310-201-9150 or by email to shareholders@glancylaw.com.
According to the Complaint filed in this lawsuit, throughout the Class Period defendants made false and/or misleading statements and/or failed to disclose that the reason for the sudden spike in its auto claims frequency was the result of Allstate’s growth in its auto policy business through higher risk drivers.
On August 3, 2015, post-market, Allstate disclosed its second quarter 2015 financial results. In its report Allstate announced a third consecutive quarter of heightened auto claims frequency, a 57% reduction in operating income and operating earnings per share that were $0.34 under analysts' estimates. Following Allstate's earnings release, the Company's Chief Executive Officer stated that the lower quarterly profit was primarily caused by "a deterioration in auto insurance margins" claiming that "margins decreased as higher claim frequency and severity more than offset average auto insurance price increases."
Due to these disclosures, Allstate's share price fell over 10%, to close at $62.34 on August 4, 2015.
If you purchased shares of Allstate during the Class Period you may move the Court no later than January 9, 2017 to ask the Court to appoint you as lead plaintiff if you meet certain legal requirements. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Lesley Portnoy, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles, California 90067, at 310-201-9150, Toll-Free at 888-773-9224, by email to shareholders@glancylaw.com, or visit our website at http://glancylaw.com. If you inquire by email please include your mailing address, telephone number and number of shares purchased.
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