NEW YORK--(BUSINESS WIRE)--Robbins Geller Rudman & Dowd LLP (http://www.rgrdlaw.com/cases-align-tech-class-action-lawsuit.html) today announced that it filed a class action on behalf of an institutional investor seeking to represent purchasers of Align Technology, Inc. (NASDAQ:ALGN) common stock during the period between April 24, 2019 and July 24, 2019 (the “Class Period”). This action was filed in the Southern District of New York and is captioned City of Roseville Emps’ Ret. Sys. v. Align Tech., Inc., et al., No. 20-cv-01822.
The Private Securities Litigation Reform Act of 1995 permits any investor who purchased Align common stock during the Class Period to seek appointment as lead plaintiff in the Align class action lawsuit. A lead plaintiff acts on behalf of all other class members in directing the Align class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the Align class action lawsuit. An investor’s ability to share in any potential future recovery of the Align class action lawsuit is not dependent upon serving as lead plaintiff. If you wish to serve as lead plaintiff in the Align class action lawsuit, you must move the Court no later than 60 days from today. If you wish to discuss the Align class action lawsuit or have any questions concerning this notice or your rights or interests, please contact plaintiff’s counsel, Brian E. Cochran of Robbins Geller at 800/449-4900 or 619/231-1058, or via e-mail at email@example.com. You can view a copy of the complaint as filed at https://www.rgrdlaw.com/cases-align-tech-class-action-lawsuit.html.
The Align class action lawsuit charges Align and certain of its officers with violations of the Securities Exchange Act of 1934. Align is a medical device company that designs, manufactures, and markets devices to treat misaligned teeth. Align’s principal product is its line of Invisalign® (“Invisalign”) clear dental aligners.
The complaint alleges that throughout the Class Period, defendants made numerous materially misleading statements emphasizing the growth and performance of the Company’s operations in China, the Company’s most valuable market after the United States. These statements included describing the “huge market opportunity” and “tremendous growth . . . in China, in particular,” and characterizing the Company’s increasing presence in China as “a big hit with our Chinese customers.” These and other statements were materially false and misleading because they exaggerated the Company’s performance in China and omitted to disclose material declines in Chinese demand for the Company’s products and the deteriorating sentiment of consumers in China towards the Company’s products. As a result of defendants’ false statements and/or omissions, the price of Align common stock was artificially inflated to a high of more than $330 per share during the Class Period.
On July 24, 2019, after the market closed, the Company announced its financial results for the second quarter of 2019, revealing significantly declining sales volumes for its Invisalign products and drastically reducing its growth projections for the third quarter and full year of 2019. The Company’s Chief Executive Officer acknowledged that these problems were “primarily due to softness in China related to a tougher consumer environment” – a stark contrast from defendants’ Class Period representations about the Company’s Chinese operations. On this news, the price of Align common stock declined nearly $75 per share, or more than 27%, from a closing price of $275.16 per share on July 24, 2019 to a closing price of $200.90 per share on July 25, 2019.
The plaintiff is represented by Robbins Geller, which has extensive experience in prosecuting investor class actions including actions involving financial fraud.
Robbins Geller Rudman & Dowd LLP is one of the world’s leading law firms representing investors in securities litigation. With 200 lawyers in 9 offices, Robbins Geller has obtained many of the largest securities class action recoveries in history. For six consecutive years, ISS Securities Class Action Services has ranked the Firm in its annual SCAS Top 50 Report as one of the top law firms in the world in both amount recovered for shareholders and total number of class action settlements. Robbins Geller attorneys have helped shape the securities laws and have recovered tens of billions of dollars on behalf of aggrieved victims. Beyond securing financial recoveries for defrauded investors, Robbins Geller also specializes in implementing corporate governance reforms, helping to improve the financial markets for investors worldwide. Robbins Geller attorneys are consistently recognized by courts, professional organizations and the media as leading lawyers in the industry. Please visit http://www.rgrdlaw.com for more information.