LOS ANGELES--(BUSINESS WIRE)--The Law Offices of Frank R. Cruz announces that a class action lawsuit has been filed on behalf of persons and entities that purchased or otherwise acquired Perion Network Ltd. (“Perion” or the “Company”) (NASDAQ: PERI) common stock between February 9, 2021 and April 5, 2024, inclusive (the “Class Period”). Perion investors have until June 17, 2024 to file a lead plaintiff motion.
If you are a shareholder who suffered a loss, click here to participate.
On April 8, 2024, Perion announced its preliminary financial results for the first quarter of 2024, disclosing that it now expects revenue in the range of $590-$610 million, down from previously expressed expectations of $860-$880 million. The Company attributed the revision to a drop in search advertising pricing due to changes made by Microsoft’s Bing search engine.
On this news, Perion’s stock price fell $8.61, or 40.8%, to close at $12.50 per share on April 8, 2024, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Perion’s search advertising business was not a reliable and significant growth driver and was in fact in decline; (2) Perion’s long-term relationship with Microsoft and search services agreement would not provide stability for Perion’s search advertising business; (3) there was an increased risk of Microsoft acting to unilaterally change its advertising pricing and mechanisms to the detriment of Perion while the search services agreement was in place; (4) Perion’s AI technology and Microsoft’s investment in ChatGPT would not protect or grow Perion’s search advertising revenue; and (5) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
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If you purchased Perion common stock during the Class Period, you may move the Court no later than June 17, 2024 to ask the Court to appoint you as lead plaintiff. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you purchased Perion common stock, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 2121 Avenue of the Stars, Suite 800, Los Angeles, California 90067 at 310-914-5007, by email to info@frankcruzlaw.com, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.
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