NEW YORK--(BUSINESS WIRE)--Pomerantz LLP announces that a class action lawsuit has been filed against Aerohive Networks, Inc. (“Aerohive” or the “Company”) (NYSE:HIVE) and certain of its officers. The class action, filed in United States District Court, for the Northern District of California, and docketed under 18-cv-00544, is on behalf of a class consisting of investors who purchased or otherwise acquired Aerohive securities, seeking to recover compensable damages caused by defendants’ violations of the Securities Exchange Act of 1934.
If you are a shareholder who purchased Aerohive securities between November 1, 2017, and January 16, 2018, both dates inclusive, you have until March 20, 2018, to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at email@example.com or 888.476.6529 (or 888.4-POMLAW), toll-free, Ext. 9980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased.
Aerohive supplies wireless infrastructure equipment. The Company designs cooperative control wireless architecture, cloud-enabled network management, routing, and virtual private network solutions. Aerohive serves the healthcare, education, manufacturing, distribution, and retail industries throughout the United States.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Aerohive had uncovered sales execution issues at the Company at the end of the third quarter of 2017; (ii) consequently, Aerohive’s revenue guidance for the fourth quarter of 2017 was overstated; and (iii) as a result, Aerohive’s public statements were materially false and misleading at all relevant times.
On January 16, 2018, post-market, Aerohive issued a press release entitled “Aerohive Networks Announces Preliminary Fourth Quarter 2017 Financial Results,” revealing that it “expects net revenue for the fourth quarter to be approximately $37 million, which is below the Company’s previously stated guidance of $40 million to $42 million.” Aerohive attributed the reduced guidance to “underlying sales execution issues” uncovered at the end of the third quarter.
On this news, Aerohive’s share price fell $1.63, or 28.6%, to close at $4.07 on January 17, 2018, damaging investors.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Paris, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.