Bronstein, Gewirtz & Grossman, LLC, a prominent law firm, has announced a class action lawsuit against Intel Corporation and certain officers. The lawsuit aims to recover damages for investors who purchased or acquired Intel securities between January 25, 2024, and April 25, 2024. The lawsuit alleges that Intel made false and misleading statements about its business operations, leading to significant losses for investors.
The complaint states that Intel announced a shift to an “internal foundry model” in October 2022, where revenue from external customers and Intel products would be recognized. On June 21, 2023, Intel provided an update on the Foundry model, stating that all manufacturing services would be separated into a new group called Intel Foundry Services (IFS). The company emphasized the cost-saving benefits of this model.
However, in April 2024, Intel disclosed that the Foundry segment had experienced an operating loss of $7 billion in 2023. This news caused Intel’s stock price to drop by 8.2%. Furthermore, the company’s financial results for the first quarter of 2024 revealed a 10% decrease in the Foundry segment, leading to another stock price decline of 9.2%.
The lawsuit alleges that Intel failed to disclose crucial information to investors, including the operating losses in the Foundry segment and the decline in product profits. As a result, investors suffered significant losses due to Intel’s misleading statements about its business prospects.
A class action lawsuit has been filed, and investors who suffered losses have until July 2, 2024, to seek appointment as lead plaintiff. Bronstein, Gewirtz & Grossman, LLC, the law firm handling the case, represents investors on a contingency fee basis, meaning they only receive payment if the case is successful.
Bronstein, Gewirtz & Grossman, LLC is a reputable firm with a history of recovering millions of dollars for investors in securities fraud cases. Investors who wish to join the lawsuit or learn more about their rights can visit the firm’s website or contact Peretz Bronstein or Nathan Miller.
In conclusion, the lawsuit against Intel Corporation highlights the importance of transparency and accurate disclosure in corporate financial reporting. Investors should closely monitor companies’ statements and financial results to make informed decisions about their investments.
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https://www.globenewswire.com/news-release/2024/06/24/2902768/0/en/INTC-INVESTOR-ALERT-Bronstein-Gewirtz-Grossman-LLC-Announces-that-Intel-Corporation-Investors-with-Substantial-Losses-Have-Opportunity-to-Lead-Class-Action-Lawsuit.html