A securities class action has been filed in the USDC –S.D.N.Y. against Digimarc Corporation (DMRC) (“Digimarc” or the “Company”) on behalf of all persons or entities who purchased or otherwise acquired Digimarc securities between May 2, 2024, and February 26, 2025 (the “Class Period”).
Digimarc is a digital watermarking technology company. Digimarc’s digital watermarking technology is deployed in the identification and the authentication of physical and digital items, often at large scale. For example, in 2019 Digimarc introduced a line of invisible barcodes, in partnership with Walmart, to be used during the self-checkout process.
The complaint 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:
(1) that a large commercial partner would not renew a large contract on the same terms;
(2) that, as a result, Digimarc would renegotiate the large commercial contract;
(3) that, as a result of the foregoing, the Company’s subscription revenue and annual recurring revenue would be adversely affected;
(4) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis, thereby harming investors.
As a result of Defendants’ wrongful acts and omissions, Digimarc’s stock price fell $11.65, or 43.1%, to close at $15.39 per share on February 27, 2025, on unusually heavy trading volume.
If you purchased Digimarc securities during the Class Period, and would like to receive more information or join the action, please enter your contact information below for a FREE consultation and click “Submit Your Information”.