Quantum(US:QMCO) Businesswireยท2025-09-05 18:15Core Viewpoint - A class action lawsuit has been filed against Quantum Corporation (QMCO) for securities fraud, affecting investors who purchased shares between November 15, 2024, and August 18, 2025 [1][2]. Group 1: Events Leading to the Lawsuit - On June 30, 2025, Quantum announced it would not be able to file its annual financial report on time due to a review of its accounting related to revenue contracts, resulting in a stock price drop of $1.00, or 10.03%, closing at $8.97 per share [3]. - On August 8, 2025, Quantum stated that its third quarter 2024 financial statements should no longer be relied upon due to material weaknesses in internal controls, leading to a revenue restatement of approximately $3.9 million [4]. - Following this announcement, Quantum's stock fell by $0.14, or 1.79%, to close at $7.66 per share on August 11, 2025 [5]. - On August 18, 2025, the resignation of Quantum's CEO after five months in the position caused the stock to drop by $0.61, or 8.2%, closing at $6.83 per share on August 19, 2025 [5]. Group 2: Allegations in the Lawsuit - The lawsuit alleges that throughout the Class Period, Quantum made materially false and misleading statements and failed to disclose adverse facts about its business and operations [6]. - Specific allegations include improper revenue recognition during the fiscal year ended March 31, 2025, necessitating a restatement of previously filed financial statements for the fiscal third quarter ended December 31, 2024 [6][7]. - The lawsuit claims that the positive statements made by Quantum regarding its business lacked a reasonable basis and were materially misleading [7].