NEW YORK--(BUSINESS WIRE)--The Klein Law Firm announces the commencement of an investigation of Synacor, Inc. (NASDAQGM: SYNC) concerning possible violations of federal securities laws.
On May 4, 2016, Synacor announced it had secured a contract with AT&T Inc. to host web and mobile services. On August 9, 2017, Synacor issued a press release announcing that “The joint AT&T-Synacor team has made the strategic decision to prioritize portal engagement right now over monetization.” In the press release, Synacor CEO Himesh Bhise was quoted as stating that “a significant portion of the revenue that we were expecting in Q3 and Q4 this year is delayed to 2018, and we are adjusting our financial guidance for 2017 accordingly.” Then on March 15, 2018, the Company held a conference call during which Bhise noted that “in the last three quarters of 2017, we generated approximately $25 million in revenue from AT&T.” Bhise noted that “Clearly, this forecast is below the $100 million annual revenue target that AT&T and Synacor announced when we first discussed the portal contract…” Following this news, shares of Synacor fell more than 14% to close at $1.75 on March 16, 2018.
If you suffered a loss in Synacor and wish to obtain additional information, please contact Joseph Klein, Esq. by telephone at 212-616-4899 or visit http://www.kkclasslaw.com/SYNC-Info-Request-Form-288.
Joseph Klein, Esq. represents investors and participates in securities litigations involving financial fraud throughout the nation. Attorney advertising. Prior results do not guarantee similar outcomes.