NEW YORK, Nov. 23, 2021 (GLOBE NEWSWIRE) — Lowey Dannenberg P.C., a preeminent law firm in obtaining redress for consumers and investors, is investigating claims of violations of federal securities laws on behalf of investors of Snap Inc. (“Snap” or the “Company”) (NYSE:SNAP).
A class action lawsuit has been filed on behalf of all persons and entities who purchased or otherwise acquired Snap securities between July 22, 2020 and October 21, 2021 both dates inclusive (the “Class Period”). Investors have until January 10, 2021 to apply to the Court to be appointed as lead plaintiff in the lawsuit. If you are a shareholder of Snap with more than $100,000 in losses, you should contact the Firm.
Snap is an American camera and social media company that develops and maintains technological products and services such as the social media application “Snapchat,” an eyewear product that connects with Snapchat and captures video Spectacles, and advertising products including AR (augmented reality) and Snap ads.
In its filings with the U.S. Securities and Exchange Commission, Snap admits that it generates substantially all of its revenues by offering various advertising products on Snapchat and that it monetizes its business primarily through advertising based on its user data. In June 2020, as part of an ongoing privacy push, Apple Inc. (“Apple”), which developed and maintains the popular mobile operating system, iOS, for its mobile devices, publicly announced new data privacy features for iOS. Following this announcement, Snap continuously downplayed and misled investors regarding the impact that Apple’s new data privacy features would have on its business. In April 2021, Apple released the new data privacy features for iOS.
The truth emerged on October 22, 2021, when Snap filed its third quarter 2021 report for the period ending September 30, 2021 on a Form 10-Q, disclosing Snap’s weaker-than-expected revenue and weaker-than-expected guidance because of its advertising business, due to Apple’s privacy changes. In the report, CEO Evan Spiegel disclosed that Snap’s advertising business had allegedly been affected by recent privacy changes introduced by Apple in its iOS mobile operating system in June and July. Specifically, Spiegel claimed that “the new Apple-provided measurement solution did not scale as we had expected, making it more difficult for our advertising partners to measure and manage their ad campaigns for iOS.”
Following this news, Snap’s stock price fell $19.97 per share, or 26%, to close at $55.14 per share on October 22, 2021.
If you are a shareholder of Snap, and wish to participate, learn more, or discuss the issues surrounding the investigation, please contact our attorneys at (914) 733-7256 or via email at firstname.lastname@example.org.
Whistleblowers: Persons with non-public information regarding Snap should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC.
About Lowey Dannenberg
Lowey Dannenberg is a national firm representing institutional and individual investors, who suffered financial losses resulting from corporate fraud and malfeasance in violation of federal securities and antitrust laws. The firm has significant experience in prosecuting multi-million-dollar lawsuits and has previously recovered billions of dollars on behalf of investors.
Lowey Dannenberg P.C.
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Tel: (914) 733-7256