Shareholder alert: robbins llp announces irobot corp. (irbt) again sued for misleading shareholders
San diego & bedford, mass.--(business wire)--shareholder rights law firm robbins llp announces that a purchaser of irobot corp. (nasdaq: irbt) filed a derivative complaint against the company's officers and directors for breach of fiduciary duties and unjust enrichment between november 21, 2016 and the present. irobot designs, builds, and sells robots for the consumer market worldwide. if you suffered a loss as a result of irobot's misconduct, click here. irobot corp. (irbt) accused of channel-stuffing according to the complaint, by october 2017, irobot had completed its acquisition of sales on demand corporation and robopolis sas for a total of $159 million, touting their ability to accelerate the growth of irobot's business and maintain its segment leadership. following the acquisitions and throughout the relevant period, irobot reported explosive, double-digit revenue growth, and reaffirmed its positive outlook, with its officers and directors attributing its strong performance to growing demand for the roomba line of products, expanded gross margin, and technological innovation. in reality, irobot's revenue was the result of the company's channel-stuffing, which artificially boosted sales to help irobot achieve "record" growth. despite its efforts, on april 23, 2019, the company announced shockingly disappointing quarterly revenues below analyst expectations and surging inventory levels. then, on july 23, 2019, the company drastically cut its full-year earnings forecast. finally, on october 22, 2019, irobot cut its high end of its revenue expectations for the year and rolled back price increases due to a "suboptimal" customer response. following these disclosures, irobot's stock price fell a total of $81.51, or 62%, to close at $49.06 and has yet to recover. irobot corp. (irbt) shareholders have legal options contact us to learn more: leo kandinov (800) 350-6003 lkandinov@robbinsllp.com shareholder information form robbins llp is a nationally recognized leader in shareholder rights law. the firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested. click here to receive free alerts from stock watch when companies engage in wrongdoing. attorney advertising. past results do not guarantee a similar outcome.
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