Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased Stamps.com, Inc. (Stamps.com or the Company) (NASDAQ: STMP) securities between May 3, 2017 and February 21, 2019, inclusive (the Class Period). Stamps.com investors have until April 29, 2019 to file a lead plaintiff motion.
Investors that suffered losses on their Stamps.com investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to [email protected].
On February 21, 2019, Stamps.com announced that its key partnership with the U.S. Postal Service ended. On an earnings call, Stamps.coms chairman and Chief Executive Officer Kenneth Thomas McBride stated that, We will no longer be exclusive to the USPS and thats non-negotiable. USPS-related business accounts for 87 percent of the Companys revenue. The Company further announced that 2019 revenue was expected to decline 5.4%. On this news, the Companys stock price fell $114.43, or nearly 58%, to close at $83.65 on February 22, 2019, thereby injuring investors.
The Complaint filed in this class action alleges that Defendants made materially false and misleading statements and/or failed to disclose that: (1) the Company’s financial results depended on the manipulation of a USPS program that cost USPS an estimated $235 million per year; and (2) as a result, the Company’s business was unsustainable and its financial results were highly misleading.
If you purchased shares of Stamps.com, 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 Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to [email protected], or visit our website at www.howardsmithlaw.com.
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