Shareholder rights law firm Robbins Arroyo LLP announces that purchasers of Skechers U.S.A., Inc. (NYSE: SKX) have filed a class action complaint against the company’s officers and directors for alleged violations of the Securities Exchange Act of 1934 between October 20, 2017 and July 19, 2018. Skechers designs, develops, markets, and distributes footwear for men, women, and children.
View this information on the law firm’s Shareholder Rights Blog: https://www.robbinsarroyo.com/sketchers-u-s-a-inc/
Skechers Accused of Misstating its Financial Results and Potential for Global Growth
According to the complaint, Skechers officials touted the company’s strong sales growth while having no regard for the unsustainable increases in Selling, General & Administrative (“SG&A”) expenses. Although Skechers led investors to believe that the company would continue to see strong growth on a global scale, in reality, Skechers did not have the operational infrastructure to meet the demand for its products in many of its international markets. On July 19, 2018, Skechers announced that SG&A expenses grew by nearly 20%, causing earnings from operations to decrease by 5.7% and net earnings to decline by almost 24%. Since April 18, 2018, when news of Skechers’ increasing SG&A expenses first became public, its stock has fallen over 38% to close at $26.12 per share on October 18, 2018.
Skechers Shareholders Have Legal Options
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Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leonid Kandinov at (800) 350-6003, [email protected], or via the shareholder information form on the firm’s website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested. Sign up for our FREE portfolio monitoring service, Stock Watch.
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