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Class Action Lawsuit Filed Against Nextracker Inc.
NEW YORK – January 9, 2025 – Kaplan Fox & Kilsheimer LLP has initiated a class action lawsuit against Nextracker Inc. (NASDAQ: NXT), representing investors who acquired Nextracker securities between February 1, 2024, and August 1, 2024, a period referred to as the Class Period.
If you are an investor affected by financial losses related to Nextracker, it is advisable to reach out for more information about your options and potential involvement in the case.
Key Deadlines and Information
Investors who qualify as members of the proposed Class have until February 25, 2025, to apply to serve as a lead plaintiff in this case. Interested parties are encouraged to learn about the lead plaintiff process, which can play a significant role in the case’s direction.
Nextracker’s Business Operations
Nextracker specializes in providing products and services designed to enhance the efficiency of solar power generation by enabling solar panels to track the sun’s movement throughout the day. This technology is crucial for optimizing performance in utility-scale solar power plants.
Allegations in the Lawsuit
The lawsuit alleges that during the Class Period, senior executives of Nextracker diminished the significance of project delays despite knowledge of their potential harm to the company’s business outlook. Specifically, the complaint claims that the company’s representatives minimized these delays, stating they were confined to a few isolated projects while suggesting that growth prospects and client demand would effectively offset any adverse impacts.
On August 1, 2024, following the close of the market, Nextracker disclosed a revenue decrease for its fiscal first quarter of 2025, which ended on June 30, 2024. During an earnings call that same day, when questioned about the potential shift in the company’s earlier statements, the president acknowledged, “it is a bit of a shift, honestly.”
This revelation triggered a significant drop in Nextracker’s stock price, which plummeted by $4.85 per share, approximately 10.4%, on August 2, 2024. The downward trend continued with an additional decline of around 5% on the following trading day.
Specific Claims of Misrepresentation
The complaint outlines that throughout the Class Period, Nextracker’s leaders made false or misleading statements and failed to disclose critical information regarding the business’s challenges. This includes assertions that:
- The extent of project delays was being downplayed.
- Permitting and interconnection setbacks significantly hindered revenue generation from the backlog.
- The company could not meet the anticipated increased client demand due to these delays.
- Claims about competitive advantages were overstated, not effectively sheltering Nextracker from industry-wide headwinds.
The Role of Kaplan Fox & Kilsheimer LLP
Kaplan Fox is a distinguished national law firm with extensive experience in complex litigation, particularly in securities law. With over five decades of litigation expertise, the firm represents clients at both federal and state levels and has successfully secured significant rulings on their behalf. More details about their services can be found on their website.
For further information regarding the case, pending inquiries, or to understand your rights and options, interested investors should consider reaching out to Kaplan Fox.
Source
www.investing.com