BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased Myriad Genetics, Inc. (“Myriad” or the “Company”) (NASDAQ: MYGN) securities between September 2, 2016 and August 13, 2019, inclusive (the “Class Period”). Myriad investors have until November 26, 2019 to file a lead plaintiff motion.
Investors suffering losses on their Myriad investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to email@example.com.
On August 13, 2019, after the market closed, Myriad disclosed that “[u]nfortunately, revenue in the fourth quarter was two percent below expectations largely due to lower reimbursement for [the Company’s] expanded carrier screening test [called Foresight].” Additionally, the Company revealed that, since at least late 2018, the U.S. Food and Drug Administration (“FDA”) had increasingly questioned the claims of marketed genetics tests, such as Myriad’s GeneSight. Myriad also disclosed that “the FDA requested changes to the GeneSight test offering” after Myriad had provided the FDA with clinical evidence and other information to support GeneSight Psychotropic.
On this news, the Company’s stock price fell $19.05 per share, or nearly 43%, to close at $25.50 per share on August 14, 2019, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that Myriad's product, GeneSight, lacked evidence or information sufficient to support the tests in their current form, including their purported benefits; (2) that the FDA had requested changes to GeneSight and questioned the validity of the test’s purported benefits; (3) that Myriad had been in ongoing discussions with the FDA regarding the FDA’s requested changes to GeneSight; (4) that Myriad’s acquisition of Counsyl—and thereby, Foresight—caused the Company to incur the risk of suffering from lower reimbursement for its expanded carrier screening tests, which had the potential to, and actually did, materialize into a material negative impact on the Company’s revenue; and (5) that as a result, the Company’s public statements were materially false and misleading at all relevant times.
If you purchased Myriad securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to firstname.lastname@example.org, or visit our website at www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.