The Law Offices of Frank R. Cruz Announces the Filing of a Securities Class Action on Behalf of Amazon.com, Inc. (AMZN) Investors

LOS ANGELES--(BUSINESS WIRE)--The Law Offices of Frank R. Cruz announces that a class action lawsuit has been filed on behalf of persons and entities that purchased or otherwise acquired Amazon.com, Inc. (“Amazon” or the “Company”) (NASDAQ: AMZN) common stock between July 30, 2021 and April 28, 2022, inclusive (the “Class Period”). Amazon investors have until September 6, 2022 to file a lead plaintiff motion.

If you are a shareholder who suffered a loss, click here to participate.

On April 28, 2022, Amazon reported a $3.8 billion net quarterly loss. The Company disclosed $6 billion of “incremental costs,” including $2 billion due to “overcapacity” in its “fulfillment and transportation network.” Amazon also disclosed that it expected the impacts of this to “persist for the next several quarters.”

On this news, Amazon’s stock fell $406.30, or 14%, to close at $2,485.63 per share on April 29, 2022, 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 that: (1) rather than necessary to meet short-term and long-term customer demand, Amazon’s rapid expansion resulted in substantial overcapacity that drove massive losses and would substantially deplete the Company’s earnings moving forward; (2) Amazon’s capacity for growth far outpaced demand and, in response, Defendants made a series of intensifying cutbacks to warehouse and fulfillment capacity; and (3) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.

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If you purchased Amazon common stock during the Class Period, you may move the Court no later than September 6, 2022 to ask the Court to appoint you as lead plaintiff. 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 purchased Amazon common stock, 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 Frank R. Cruz, of The Law Offices of Frank R. Cruz, 1999 Avenue of the Stars, Suite 1100, Los Angeles, California 90067 at 310-914-5007, by email to [e-mail], or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.

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