Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Dycom Industries, Inc. ("Dycom" or the "Company") DY of the December 24, 2018 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you invested in Dycom stock or options between November 20, 2017 and August 10, 2018 and would like to discuss your legal rights, click here: www.faruqilaw.com/DY. There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to rgonnello@faruqilaw.com.
The lawsuit has been filed in the U.S. District Court for the Southern District of Florida on behalf of all those who purchased Dycom common stock between November 20, 2017 and August 10, 2018 (the "Class Period"). The case, Tung v. Dycom Industries, Inc. et al, No. 18-cv-81448 was filed on October 25, 2018, and has been assigned to Judge Robin L. Rosenberg.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by failing to disclose that: (1) Dycom's large projects were highly dependent on permitting and tactical considerations, (2) Dycom was facing great uncertainties related to permitting issues; (3) said uncertainties would expose Dycom to near-term margin pressure and absorption issues; and (4) as a result of the foregoing, Defendants' statements about Dycom's business, operations, and prospects, were false and misleading and/or lacked a reasonable basis.
Specifically, on May 22, 2018, before the market open, Dycom issued a press release announcing the Company's financial and operating results for the first fiscal quarter ended April 28, 2018 and revising the guidance for the fiscal year 2019. The revision was explained during a conference call later that day and was pinned to, among other things, uncertainties regarding permitting issues, pressure on margins, and "under-absorption of labor and field costs."
On this news, the Company's stock price fell from $116.20 per share on May 21, 2018 to $92.64 per share on May 22, 2018—a $23.56 or 20.28% drop.
Then, on August 13, 2018, before the market open, Dycom issued a press release revising the Company's guidance for the financial and operating results for the second fiscal quarter and six months ended July 28, 2018 and announcing preliminary revenues and results for the second quarter below the previous guidance.
On this news, the Company's stock price fell from $89.71 per share on August 10, 2018 to $68.09 per share on August 13, 2018—a $21.62 or 24.10% drop.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding Dycom's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
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