NEW YORK–(BUSINESS WIRE)–#BZUN–Bragar Eagel & Squire, P.C., a nationally recognized shareholder law firm, announces that a class action lawsuit has been filed in the United States District Court for the Southern District of New York on behalf of investors that purchased Baozun, Inc. (NASDAQ: BZUN) securities between March 6, 2019 and November 20, 2019 (the “Class Period”). Investors have until February 10, 2020 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
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On November 21, 2019, Baozun announced its 3Q19 financial results for the interim period ended September 30, 2019 and provided its 4Q19 financial guidance. Rather than the revenues of $214 million Baozun had led the investment community to expect, the Company reported revenues of just $210.3 million. Likewise, earnings per ADR of $0.14 were below the $0.15 per ADR the investment community had been led to expect. More critically, Baozun disclosed the electronics customer loss would negatively impact results for the rest of 2019 and for the first half of 2020, stating that for the 4Q19 it now only expected revenues in the range of $384 million to $391.2 million, well below the $401 million the Company had led the investment community to expect based on its prior Class Period statements.
On this news, the market price of Baozun ADRs plummeted, declining by $7.60 per share, or approximately 17.5%, to close at $35.90 per share on November 21, 2019.
The complaint, filed on December 10, 2019, alleges that during the Class Period defendants made false and misleading statements and engaged in a scheme to deceive the market and a course of conduct that artificially inflated the price of Baozun ADRs and operated as a fraud or deceit on Class Period purchasers of Baozun ADRs by misrepresenting the value of the Company’s business and prospects. As Defendants’ misrepresentations and fraudulent conduct became apparent to the market, the price of Baozun ADRs fell precipitously, as the prior artificial inflation came out of the price. As a result of their purchases of Baozun ADRs during the Class Period, Plaintiff and other members of the Class suffered economic losses.
If you purchased Baozun securities during the class period, have information, 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 Brandon Walker or Melissa Fortunato by email at [email protected], or telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you.
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Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York and California. The firm represents individual and institutional investors in commercial, securities, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.