Fortinet(US:FTNT) Globenewswireยท2025-09-24 10:20Core Viewpoint - The Fortinet class action lawsuit alleges that the company and its executives misrepresented the potential of their product refresh cycle and concealed critical information regarding the upgrade of FortiGate firewalls, leading to significant financial losses for investors [1][3][4]. Group 1: Allegations of Misrepresentation - The lawsuit claims that Fortinet's executives misled investors about the profitability of the refresh cycle, stating it would be more lucrative than it actually was, as it involved older products that represented a "small percentage" of the business [3][4]. - It is alleged that Fortinet did not have a clear understanding of the number of FortiGate firewalls eligible for upgrades, contradicting their public statements [3][4]. - During an earnings call on August 6, 2025, Fortinet disclosed that they were already "approximately 40% to 50% of the way through the 2026 upgrade cycle," which was a significant deviation from prior expectations [4]. Group 2: Impact on Stock Price - Following the revelations during the earnings call, Fortinet's stock price dropped by more than 22%, indicating a strong negative market reaction to the disclosed information [4]. Group 3: Class Action Process - The Private Securities Litigation Reform Act of 1995 allows any investor who purchased Fortinet common stock during the specified class period to seek appointment as lead plaintiff in the lawsuit [5]. - The lead plaintiff will represent the interests of all class members and can choose a law firm to litigate the case [5]. Group 4: About Robbins Geller - Robbins Geller Rudman & Dowd LLP is a prominent law firm specializing in securities fraud and shareholder litigation, having secured over $2.5 billion for investors in 2024 alone [6]. - The firm has been recognized for its significant recoveries in securities class action cases, including the largest recovery in history of $7.2 billion in the Enron case [6].