SHAREHOLDER ALERT: Pomerantz Law Firm Investigates Claims on Behalf of Investors of Kornit Digital Ltd. - KRNT

NEW YORK, Aug. 07, 2019 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of Kornit Digital Ltd. (“Kornit” or the “Company”) (NASDAQ: KRNT). Such investors are advised to contact Robert S. Willoughby at [email protected] or 888-476-6529, ext. 9980.

The investigation concerns whether Kornit and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices. 

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On May 7, 2019, Spruce Point Capital Management (“Spruce Point”) published a report regarding Kornit, entitled “Teed Up And Printing Rebates”.  The Spruce Point report alleged, among other issues, that Kornit was “not adequately disclosing” the terms of Amazon price rebates; that there was “a discrepancy between reported Amazon revenues in Kornit’s filings”; and Kornit had engaged in “aggressive tactic[s]” with respect to reporting the cost of warrants granted to Amazon, “which the SEC questioned, and made [Kornit] restate results.”  On this news, Kornit’s stock price fell $2.63 per share, or 9.35%, to close at $25.51 per share on May 7, 2019.  Then, on August 6, 2019, post-market, Kornit announced its financial results for the second quarter of 2019, disclosing a significant decline in gross margin, “primarily driven by impact of warrants, product mix and new product introduction.”  On this news, Kornit’s stock price fell sharply during intraday trading on August 7, 2019.

The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Paris, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.

CONTACT:
Robert S. Willoughby
Pomerantz LLP
[email protected]