Philadelphia, Pennsylvania–(Newsfile Corp. – May 1, 2023) – Berger Montague advises investors that a securities fraud class action lawsuit has been filed against Lumen Technologies, Inc. (“Lumen”) (NYSE: LUMN) on behalf of those who purchased Lumen securities between September 14, 2020 and February 7, 2023, inclusive (the “Class Period”).
Investor Deadline: Investors who purchased or acquired Lumen securities during the Class Period may, no later than May 2, 2023, seek to be appointed as a lead plaintiff representative of the class. For additional information or to learn how to participate in this litigation, please contact Berger Montague: James Maro at jmaro@bm.net or (215) 875-3093, or Andrew Abramowitz at aabramowitz@bm.net or (215) 875-3015, or visit: https://investigations.bergermontague.com/lumen-technologies/.
Lumen, formerly known as CenturyLink, is an international facilities-based technology and communications company focused on providing its business and residential customers with an array of integrated products and services necessary to fully participate in a rapidly evolving digital world. Throughout the Class Period, Lumen claimed that it would expand its fiber services to small and medium business (“SMB”) and residential or consumer markets.
Starting on February 9, 2022, Lumen began to admit that its expansion into SMB and residential fiber services was occurring slower than previously represented. Following this news, Lumen’s stock price declined $1.99, from a close of $12.82 per share on February 9, 2022, to a close of $10.83 on February 10, 2022.
Then, on November 2, 2022, Lumen’s Chief Executive Officer admitted, “we are not yet at the pace of build we expect or want” with respect to Lumen’s development of its Quantum Fiber brand. Following this news, Lumen’s stock price declined $1.25, from a close of $7.05 per share on November 2, 2022, to a close of $5.80 on November 3, 2022.
Finally, on February 7, 2023, the defendants admitted that they had pressed “more of a stop button than a pause button” on Lumen’s investment into the Quantum Fiber network and expansion into the SMB and residential markets while the company re-evaluated its strategic priorities. Following this news, Lumen’s stock price declined $1.04, from a close of $4.99 per share on February 7, 2023, to a close of $3.95 on February 8, 2023.
The complaint alleges that throughout the Class Period, the defendants made false and/or misleading statements and/or failed to disclose that: (i) various headwinds were impeding the Lumen’s ability to invest in and grow its Quantum Fiber brand; (ii) Quantum Fiber was not progressing as was represented to the investing public; (iii) Lumen’s management was reassessing its strategic priorities and had placed a hold on the plans to quickly scale up the Quantum Fiber brand; and (iv) as a result of Lumen’s decision to delay expansion of Quantum Fiber, the company’s results and metrics were negatively impacted and the scaling up of Quantum Fiber would not occur until, at the earliest, the end of 2023.
A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Any member of the purported class may move the Court to serve as a lead plaintiff through counsel of his/her choice, or may choose to do nothing and remain an inactive class member.
Berger Montague, with offices in Philadelphia, Minneapolis, Washington, D.C., San Francisco, Chicago, San Diego, and Toronto, has been a pioneer in securities class action litigation since its founding in 1970. Berger Montague has represented individual and institutional investors for over five decades and serves as lead counsel in courts throughout the United States.
Contacts:
James Maro, Senior Counsel
Berger Montague
(215) 875-3093
jmaro@bm.net
Andrew Abramowitz, Senior Counsel
Berger Montague
(215) 875-3015
aabramowitz@bm.net
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/164365
Source: Newsfile Corp.
Release ID: 599973