SAN FRANCISCO, CA / ACCESSWIRE / January 21, 2023 / Hagens Berman urges Generac Holdings Inc. (NYSE:GNRC) investors who suffered significant losses to submit your losses now.
Class Period: Apr. 29, 2021 - Nov. 1, 2022
Lead Plaintiff Deadline: Jan. 30, 2023
Contact An Attorney Now: [email protected]
Generac Holdings Inc. (NYSE:GNRC) Securities Fraud Class Action:
The litigation challenges Generac's statements concerning the safety and success of its PWRcell solar energy offering which includes the SnapRS, a rapid shutdown device meant to shut off the flow of electricity from solar panels to the rest of the system.
The complaint alleges that Defendants mispresented and concealed that: (1) they knew the SnapRS units were defective; (2) as a result, relevant accounting rules required Generac to timely record warranty liabilities but it did not; and, (3) contrary to Generac's assurances otherwise, its sales to channel partners were highly concentrated in a single partner.
The truth began to emerge on Aug. 1, 2022, when one of Generac's channel partners ("Pink Energy") sued the company alleging that SnapRS defects caused millions of dollars of damage to Pink Energy and threatened its solvency.
Then, on Oct. 19, 2022 Generac revealed that it recorded $37 million of clean energy warranty and $18 million of bad debt charges, ostensibly related to Pink Energy's Oct. 7, 2022 bankruptcy.
Finally, on Nov. 2, 2022 Generac slashed its FY 2022 guidance on clean energy products by a whopping $170 to $200 million as a result of "the loss of a major customer" and "the specific warranty-related issue."
Each of these disclosures caused the price of Generac shares to decline sharply, thereby injuring investors.
"We're focused on investors' losses and proving Generac cooked its books," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in Generac and have significant losses, or have knowledge that may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Generac 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. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
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About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation law firm focusing on corporate accountability through class-action law. The firm is home to a robust securities litigation practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and fraud. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Reed Kathrein, 844-916-0895
SOURCE: Hagens Berman Sobol Shapiro LLP