Amplitude(US:AMPL) Newsfilterยท2024-02-15 16:34Core Viewpoint - Amplitude, Inc. is facing a federal securities class action lawsuit due to allegations of misleading statements regarding its revenue growth and business strategy, particularly related to its land-and-expand strategy and the impact of the COVID-19 pandemic on its financial performance [2][3]. Group 1: Allegations and Legal Proceedings - The complaint against Amplitude claims that the company and its executives violated federal securities laws by making false or misleading statements and failing to disclose critical information about the company's revenue growth strategy [2]. - Specifically, it is alleged that Amplitude's land-and-expand strategy was not expected to significantly accelerate revenues among newer clients for several years [2]. - The lawsuit also points out that the rapid revenue growth in the second quarter of 2021 was largely due to temporary effects from the COVID-19 pandemic, which did not persist into the class period [2]. Group 2: Financial Impact and Stock Performance - On February 16, 2022, Amplitude revised its 2022 revenue guidance downward from over 40% growth to a range of $226 million to $234 million, equating to a growth rate of 35% to 40% [3]. - Following this announcement, Amplitude's stock price experienced a significant decline, falling nearly 59% [3]. Group 3: Class Action Details - The deadline for investors to seek the role of lead plaintiff in the class action is April 15, 2024 [1]. - The lead plaintiff is defined as the investor with the largest financial interest in the relief sought, who will oversee the litigation on behalf of the class [4].