Glancy Prongay & Murray LLP, a Leading Securities Fraud Law Firm, Announces Investigation of Cognyte Software Ltd. (CGNT) on Behalf of Investors
Shareholders with losses exceeding $1,000,000 are encouraged to contact the firm
LOS ANGELES--(BUSINESS WIRE)--Glancy Prongay & Murray LLP (“GPM”), a leading national shareholder rights law firm, today announced that it has commenced an investigation on behalf of Cognyte Software Ltd. (“Cognyte” or the “Company”) (NASDAQ: CGNT) investors concerning the Company’s possible violations of the federal securities laws.
If you suffered a loss on your Cognyte investments or would like to inquire about potentially pursuing claims to recover your loss under the federal securities laws, you can submit your contact information at www.glancylaw.com/cases/Cognyte-Software-Ltd/. You can also contact Charles H. Linehan, of GPM at 310-201-9150, Toll-Free at 888-773-9224, or via email at email@example.com to learn more about your rights.
On December 16, 2021, after the market closed, a “Threat Report” issued by Meta Platforms, Inc., which included the results of a months-long investigation into the “surveillance-for-hire industry,” revealed that Cognyte regularly targeted journalists, dissidents, critics of authoritarian regimes, families of opposition, and human rights activists around the world, without their knowledge, and collected intelligence on these people by manipulating them to reveal information and/or by compromising their devices and accounts, in violation of Facebook’s “multiple community standards and Terms of Service.” Specifically, the report stated that Cognyte “sells access to its platform which enables managing fake accounts across social media platforms including Facebook, Instagram, Twitter, YouTube, and VKontakte (VK), and other websites to social-engineer people and collect data.”
On this news, Cognyte’s stock price fell $1.96, or 10.3%, over the next two consecutive trading days to close at $17.01 per share on December 20, 2021, thereby injuring investors.
Then, on April 5, 2022, Cognyte issued its 2021 Annual Report, disclosing that the Company was forced to modify its solutions in response to the Threat Report, “which impacted the manner [its] customers [could] use these solutions.” Additionally, the Company missed analyst consensus estimates for the fourth quarter 2021 for non-GAAP earning per share and sales, and significantly undershot the midpoint of its guidance range by several millions of dollars.
On this news, Cognyte’s stock price fell $3.63, or 31.1%, to close at $8.03 per share on April 5, 2022.
Then, on June 28, 2022, Cognyte released its first quarter 2022 financial results, missing analyst estimates across the board, including a revenue decline of 25%.
On this news, Cognyte’s stock price fell $1.84, or 28.7%, to close at $4.58 per share on June 28, 2022, thereby injuring investors further.
Follow us for updates on LinkedIn, Twitter, or Facebook.
Whistleblower Notice: Persons with non-public information regarding Cognyte should consider their options to aid the investigation or take advantage of the SEC Whistleblower Program. Under the program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Charles H. Linehan at 310-201-9150 or 888-773-9224 or email firstname.lastname@example.org.
Glancy Prongay & Murray LLP is a premier law firm representing investors and consumers in securities litigation and other complex class action litigation. ISS Securities Class Action Services has consistently ranked GPM in its annual SCAS Top 50 Report. In 2018, GPM was ranked a top five law firm in number of securities class action settlements, and a top six law firm for total dollar size of settlements. With four offices across the country, GPM’s nearly 40 attorneys have won groundbreaking rulings and recovered billions of dollars for investors and consumers in securities, antitrust, consumer, and employment class actions. GPM’s lawyers have handled cases covering a wide spectrum of corporate misconduct including cases involving financial restatements, internal control weaknesses, earnings management, fraudulent earnings guidance and forward looking statements, auditor misconduct, insider trading, violations of FDA regulations, actions resulting in FDA and DOJ investigations, and many other forms of corporate misconduct. GPM’s attorneys have worked on securities cases relating to nearly all industries and sectors in the financial markets, including, energy, consumer discretionary, consumer staples, real estate and REITs, financial, insurance, information technology, health care, biotech, cryptocurrency, medical devices, and many more. GPM’s past successes have been widely covered by leading news and industry publications such as The Wall Street Journal, The Financial Times, Bloomberg Businessweek, Reuters, the Associated Press, Barron’s, Investor’s Business Daily, Forbes, and Money.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Glancy Prongay & Murray LLP, Los Angeles
Charles H. Linehan, 310-201-9150 or 888-773-9224
1925 Century Park East, Suite 2100
Los Angeles, CA 90067