OLPX Class Action Lawsuit (Olaplex Lawsuit)
An OLPX class action lawsuit (Olaplex Class Action Lawsuit) has been filed on behalf of investors who purchased Olaplex Class Action Lawsuit (OLPX) securities between September 30, 2021 – November 17, 2022, inclusive. For more on the OLPX Lawsuit please contact us today.
Is There An OLPX Class Action Lawsuit?
OLPX:NASDAQ Class Action Lawsuit (OLPX) was filed on November 17, 2022 on behalf of the shareholders.
On September 29, 2022, a Piper Sandler analyst downgraded Olaplex to Neutral from Overweight, stating that her work revealed that “competition and misinformation pose growing risks to the company.”
According to the analyst, calls to 150 hair salons across the U.S. suggest Olaplex could be losing a mid-to-high single digit percentage of share in salons, and other hair repair brands like K18 are rising in turn.
Finally, the analyst indicated that she anticipated investments in marketing and education were needed to offset the headwinds and that “little room for valuation upside given the risks at play.”
On this news, Olaplex’s stock price fell $1.33 per share, or 12.15%, to close at $9.62 per share on September 29, 2022.
Then, on October 18, 2022, Olaplex issued a press release in which “the Company revised its guidance for the 2022 fiscal year”.
Olaplex said it now expects fiscal year 2022 revenue between $704 million and $711 million, significantly down from its prior guidance range of $796 million to $826M.
In addressing the revised guidance, the press release stated, in relevant part: …
On this news, Olaplex’s stock price fell $5.55 per share, or 56.69%, to close at $4.24 per share on October 19, 2022.
What is the Olaplex Lawsuit About?
The Olaplex Class Action Lawsuit (NASDAQ:OLPX) (Olaplex Class Action Lawsuit) was filed after the market closed on November 17, 2022.
On September 29, 2022, a Piper Sandler analyst downgraded Olaplex to Neutral from Overweight, stating that her work revealed that “competition and misinformation pose growing risks to the company.”
According to the analyst, calls to 150 hair salons across the U.S. suggest Olaplex could be losing a mid-to-high single digit percentage of share in salons, and other hair repair brands like K18 are rising in turn.
Finally, the analyst indicated that she anticipated investments in marketing and education were needed to offset the headwinds and that “little room for valuation upside given the risks at play.”
How Much Did Shareholders Lose In OLPX Stock?
Shareholders who held OLPX securities saw stock price fell $5.55 per share, or 56.69%, to close at $4.24 per share on October 19, 2022.
Is There A Deadline For The OLPX Lawsuit?
The deadline for the Olaplex Class Action Lawsuit (NASDAQ:OLPX) (Olaplex) is January 17, 2023 for a Lead Plaintiff.
What Is The Olaplex Lawsuit Complaint?
According to the Olaplex lawsuit, throughout the Class Period defendants made false and/or misleading statements and/or failed to disclose that:
(i) macroeconomic pressures and competition in the haircare market were more robust than the Company had represented to investors;
(ii) accordingly, the Company was unlikely to maintain its sales and revenue momentum; and
(iii) as a result, it was unlikely that the Company would be able to achieve the financial and operational growth projected in the Offering Documents; and
(iv) as a result, the Offering Documents were materially false and/or misleading and failed to state information required to be stated therein.
If you suffered a loss in OLPX, you have until January 17, 2023 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.
Class Action Lawsuit Attorney
Levi & Korsinsky, Securities Class Action Attorney, for over the past 20 years, has secured hundreds of millions of dollars for aggrieved shareholders and built a track record of winning high-stakes cases. Our firm has extensive expertise representing investors in complex securities litigation and a team of over 70 employees to serve our clients. For seven years in a row, Levi & Korsinsky has ranked in ISS Securities Class Action Services’ Top 50 Report as one of the top securities litigation firms in the United States.
What Is The Lead Plaintiff Process?
THE LEAD PLAINTIFF PROCESS: According to the Private Securities Reform Act of 1995, any investor who bought or acquired OLPX securities in the Class Period may apply for appointment as a lead plaintiff. The lead plaintiff is usually the movant who has the most financial interest in the relief sought. However, he or she must also be typical or adequate to the putative classes. The OLPX class-action lawsuit is directed by the lead plaintiff. To litigate the Olaplex Class Action Lawsuit, the lead plaintiff may choose any law firm it wishes. The ability of an investor to share in any future recovery is not tied to being the lead plaintiff in the OLPX Class Action Lawsuit.
What Does OLPX Do?
Olaplex Holdings, Inc. manufactures and sells hair care products. The company offers hair care shampoos and conditioners for use in treatment, maintenance, and protection of hair. It provides hair care products to professional hair salons, retailers, and everyday consumers. The company was founded in 2014 and is based in Santa Barbara, California.
