Core Viewpoint - Methode Electronics, Inc. is facing significant operational challenges and financial setbacks, leading to a class action lawsuit due to alleged misleading statements and failure to disclose adverse facts about the company's performance and prospects [8][9]. Financial Performance - On March 9, 2023, Methode lowered its 2023 diluted EPS guidance, attributing the miss to "customer production ramp delays," resulting in a stock price drop of $6.21, or 13.1%, closing at $41.36 per share on March 13, 2023 [3]. - On June 12, 2023, Methode announced it expected to report below-range annual EPS and lower-than-expected net sales, leading to a stock price decline of $12.30, or 27.3%, to close at $32.77 per share on June 23, 2023 [4]. - On September 7, 2023, the company reported "operational inefficiencies" and further lowered its expected 2024 net sales and diluted EPS, causing a stock price drop of $6.67, or 22.2%, to close at $23.33 per share [5]. - On December 7, 2023, Methode revealed a $61.5 million loss from operations in its Automotive Segment and a $56.5 million goodwill impairment, resulting in a stock price decline of $2.87, or 11.8%, to close at $21.52 per share [6]. - On March 7, 2024, the company missed consensus estimates and stated that previous guidance should no longer be relied upon, leading to a stock price drop of $6.55, or 31.1%, to close at $14.49 per share [7]. Class Action Details - The class action lawsuit is on behalf of investors who purchased Methode common stock between June 23, 2022, and March 6, 2024, with a deadline to file a lead plaintiff motion by October 25, 2024 [1][10]. - The complaint alleges that the company made materially false and misleading statements and failed to disclose critical operational issues, including loss of skilled employees, production planning deficiencies, and logistical defects at its Monterrey facility [8].

Core Viewpoint - A lawsuit has been filed against Methode Electronics, Inc. and certain senior executives, alleging misrepresentation regarding the company's transition to electric vehicle applications and operational challenges impacting business performance [1][2][3]. Group 1: Lawsuit Details - The lawsuit is pending in the U.S. District Court for the Northern District of Illinois, captioned Salem v. Methode Electronics, Inc., et al., No. 24-cv-07696 [2]. - Investors have until October 25, 2024, to request to lead the case [2]. Group 2: Company Performance and Financial Results - Methode's Automotive Segment reported only $154.3 million in net sales for 2Q 24, with a $61.5 million loss from operations and a $56.5 million goodwill impairment [5]. - In 1Q 24, Methode disclosed "operational inefficiencies" negatively impacting earnings, leading to a stock price decline of over 22% to $23.33 per share [4]. - Following the 3Q 24 results, Methode withdrew all prior guidance and announced urgent cost-reduction measures, resulting in a stock price drop of over 31% to $14.49 per share [6]. Group 3: Executive Changes - Methode's CFO announced retirement effective July 12, 2024, and the CEO resigned just three months into his tenure on May 6, 2024 [7].

Core Viewpoint - Rosen Law Firm has filed a class action lawsuit on behalf of purchasers of Methode Electronics, Inc. common stock during the specified Class Period, alleging misleading statements and failures to disclose critical operational issues that led to investor damages [2][6]. Group 1: Lawsuit Details - The class action lawsuit pertains to common stock purchases of Methode Electronics between June 23, 2022, and March 6, 2024 [2]. - Investors who purchased stock during this period may be entitled to compensation without any out-of-pocket fees through a contingency fee arrangement [3]. - The lawsuit claims that Methode faced significant operational challenges, including loss of skilled employees, production planning deficiencies, and logistical defects at its Monterrey facility, which hindered its transition to a new production model [6]. Group 2: Operational Issues - Methode lost highly skilled employees during the COVID-19 pandemic, impacting its ability to transition from a low mix, high volume production model to a high mix, low production model [6]. - The company encountered production planning deficiencies, inventory shortages, and vendor problems while attempting to diversify its product offerings, particularly in the electric vehicle sector [6]. - Manufacturing systems at the Monterrey facility suffered from various logistical defects, including improper system coding and shipping errors, which affected quality control and timely procurement of raw materials [6]. Group 3: Financial Implications - Methode was reportedly behind on launching new electric vehicle programs, which prevented the company from receiving timely revenue from new program awards [6]. - The lawsuit alleges that Methode was not on track to achieve its 2023 diluted earnings per share guidance or the projected 6% organic sales compound annual growth rate over three years, indicating that these estimates lacked a reasonable factual basis [6].

NEW YORK, Sept. 01, 2024 (GLOBE NEWSWIRE) -- Leading securities law firm Bleichmar Fonti & Auld LLP announces that a lawsuit has been filed against Methode Electronics, Inc. (NYSE:MEI) and certain of the Company's senior executives. If you invested in Methode, you are encouraged to obtain additional information by visiting https://www.bfalaw.com/cases-investigations/methode-electronics-inc. Investors have until October 25, 2024 to ask the Court to be appointed to lead the case. The complaint asserts claims ...

Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses Exceeding $75,000 In Methode Electronics To Contact Him Directly To Discuss Their Options If you suffered losses exceeding $75,000 in Methode Electronics between June 23, 2022 and March 6, 2024 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310). [You may also click here for additional information] NEW YORK, Aug ...

PHILADELPHIA, Aug. 30, 2024 (GLOBE NEWSWIRE) -- The law firm of Barrack, Rodos & Bacine announces that a class action lawsuit has been filed on behalf of investors who purchased stock in Methode Electronics ("Methode") (NYSE: MEI) from June 23, 2022 through and including March 6, 2024 (the "Class Period"). WHAT'S THIS ABOUT? On March 7, 2024, Methode released its third quarter financial results. Its automotive segment produced revenue of just $139.7 million and suffered an $11 million loss from operations. ...

NEW YORK, Aug. 30, 2024 (GLOBE NEWSWIRE) -- Leading securities law firm Bleichmar Fonti & Auld LLP announces that a lawsuit has been filed against Methode Electronics, Inc. (NYSE:MEI) and certain of the Company's senior executives. If you invested in Methode, you are encouraged to obtain additional information by visiting https://www.bfalaw.com/cases-investigations/methode-electronics-inc. Investors have until October 25, 2024 to ask the Court to be appointed to lead the case. The complaint asserts claims u ...

NEW ORLEANS, Aug. 28, 2024 (GLOBE NEWSWIRE) -- ClaimsFiler, a FREE shareholder information service, reminds investors that they have until October 25, 2024 to file lead plaintiff applications in a securities class action lawsuit against Methode Electronics, Inc. (NYSE: MEI), if they purchased the Company's shares between June 23, 2022 and March 6, 2024, inclusive (the "Class Period"). This action is pending in the United States District Court for the Northern District of Illinois. Get Help Methode Electroni ...

NEW YORK, Aug. 28, 2024 /PRNewswire/ -- Rosen Law Firm, a global investor rights law firm, announces the filing of a class action lawsuit on behalf of purchasers of common stock of Methode Electronics, Inc. (NYSE: MEI) between June 23, 2022 and March 6, 2024, both dates inclusive (the "Class Period"). A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than October 25, 2024. So What: If you purchased Methode securities during the Class Peri ...

CHICAGO, Aug. 28, 2024 (GLOBE NEWSWIRE) -- Methode Electronics, Inc. (NYSE: MEI), a leading global supplier of custom-engineered solutions for user interface, LED lighting system and power distribution applications, announced today that Laura Kowalchik has been appointed Chief Financial Officer (CFO), effective October 1, 2024. Ms. Kowalchik succeeds David Rawden, a director at AlixPartners LLP, who has served as interim CFO since July 12, 2024. Ms. Kowalchik, currently the CFO of Communication & Power Indu ...