Quantum(US:QMCO) Prnewswire·2025-10-15 14:31Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Quantum Corporation due to allegations of improper revenue recognition and subsequent financial restatements, which have led to significant stock price declines and investor losses [2][3][4]. Group 1: Allegations and Financial Impact - Quantum Corporation is accused of making false and misleading statements regarding its revenue recognition for the fiscal year ended March 31, 2025, necessitating a restatement of its financial statements for the fiscal third quarter ended December 31, 2024 [3]. - On June 30, 2025, Quantum announced it would be unable to file its annual financial report on time, leading to a stock price drop of $1.00, or 10.03%, closing at $8.97 per share [4]. - Following an announcement on August 8, 2025, that its third quarter 2024 financial statements should no longer be relied upon, Quantum's stock fell by $0.14, or 1.79%, to close at $7.66 per share [5][6]. Group 2: Leadership Changes and Further Declines - On August 18, 2025, Quantum disclosed the resignation of its CEO after only five months, resulting in a further stock price decline of $0.61, or 8.2%, closing at $6.83 per share [6]. - The lawsuit claims that the misleading statements and the need for restatements have materially affected investors, leading to significant financial damages [3][4]. Group 3: Legal Proceedings and Investor Actions - Investors who suffered losses between November 15, 2024, and August 18, 2025, are encouraged to contact Faruqi & Faruqi to discuss their legal rights, with a deadline of November 3, 2025, to seek the role of lead plaintiff in the class action [2][7]. - The firm has a history of recovering hundreds of millions of dollars for investors since its founding in 1995, indicating its capability in handling such cases [2].