LOS ANGELES–(BUSINESS WIRE)–$GRUB #GRUB—The Schall Law Firm, a national shareholder rights litigation firm, announces the filing of a class action lawsuit against Grubhub Inc. (“Grubhub” or “the Company”) (NYSE: GRUB) for violations of §§10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.
Investors who purchased the Company’s securities between July 30, 2019 and October 28, 2019, inclusive (the ”Class Period”), are encouraged to contact the firm before January 21, 2020.
If you are a shareholder who suffered a loss, click here to participate.
We also encourage you to contact Brian Schall of the Schall Law Firm, 1880 Century Park East, Suite 404, Los Angeles, CA 90067, at 424-303-1964, to discuss your rights free of charge. You can also reach us through the firm’s website at www.schallfirm.com, or by email at [email protected].
The class, in this case, has not yet been certified, and until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.
According to the Complaint, the Company made false and misleading statements to the market. Grubhub suffered from declining customer orders, despite major investments and marketing designed to spur demand. The Company’s new customers generated lower demand than older customers due to a tendency to use competing services at the same time. The Company’s exclusive partnership model had failed, forcing it to resort to aggressive sales tactics used by its competitors. Grubhub was forced into major capital expenditures to grow revenue and maintain its market share. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Grubhub, investors suffered damages.
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The Schall Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.
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