Glancy Prongay & Murray LLP, a leading national shareholder rights law firm, announces that a securities fraud class action lawsuit has been filed on behalf of investors who purchased or otherwise acquired Monolithic Power Systems Inc. (“Monolithic” or the “Company”) (NASDAQ: MPWR) common stock between February 8, 2024 and November 8, 2024, inclusive (the “Class Period”). Monolithic investors have until April 7, 2025 to file a lead plaintiff motion.
IF YOU SUFFERED A LOSS ON YOUR MONOLITHIC POWER SYSTEMS INC. (MPWR) INVESTMENTS, CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING CLAIMS TO RECOVER YOUR LOSS UNDER THE FEDERAL SECURITIES LAWS
What Happened?
On October 30, 2024, Monolithic released its third quarter 2024 financial results, disclosing that its Enterprise Data revenue had declined sequentially during the quarter to $184 million, missing consensus estimates by nearly 13%. The Company further revealed that customer order patterns had fallen materially below recent historical trends, which was expected to continue.
On this news, Monolithic’s stock price fell $160.51, or 17.5%, to close at $759.30 per share on October 31, 2024, thereby injuring investors.
Then, on November 11, 2024, Edgewater Research published a report revealing that Nvidia had canceled half of its outstanding Monolithic orders and would be eliminating Monolithic as a supplier due to persistent “[p]erformance issues” with the Company’s power modules.
On this news, Monolithic’s stock price fell $113.99, or 14.97%, to close at $647.31 per share on November 11, 2024, thereby injuring investors further.
What Is The Lawsuit About?
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that Monolithic’s voltage regulator modules and power management integrated circuits were suffering from significant performance and quality control issues; (2) that the defects had, in turn, negatively impacted the performance of certain products offered by Nvidia in which such products were used; (3) that Monolithic had failed to adequately address and resolve known issues affecting the performance of the power management solutions the Company supplied to Nvidia; (4) that Monolithic’s relationship with Nvidia – the Company’s most important customer – had been irreparably damaged due to the significant performance and quality control problems affecting the products it supplied to Nvidia and the Company’s failure to adequately address such issues; and (5) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
If you purchased or otherwise acquired Monolithic securities during the Class Period, you may move the Court no later than April 7, 2025 to request appointment as lead plaintiff in this putative class action lawsuit.
Contact Us To Participate or Learn More:
If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us:
Charles Linehan, Esq.,
Glancy Prongay & Murray LLP,
1925 Century Park East, Suite 2100,
Los Angeles California 90067
Email: shareholders@glancylaw.com
Telephone: 310-201-9150,
Toll-Free: 888-773-9224
Visit our website at www.glancylaw.com.
Follow us for updates on LinkedIn, Twitter, or Facebook.
If you inquire by email, please include your mailing address, telephone number and number of shares purchased.
To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250210342032/en/
Contacts
Contact Us:
Glancy Prongay & Murray LLP,
1925 Century Park East, Suite 2100
Los Angeles, CA 90067
Charles Linehan
Email: shareholders@glancylaw.com
Telephone: 310-201-9150
Toll-Free: 888-773-9224
Visit our website at: www.glancylaw.com.