A securities class action has been filed in the USDC – OR. 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 specializes in digital watermarking technology, which is used for identifying and the authenticating physical and digital goods, often at large scale. For example, in
2019 Digimarc launched a series of invisible barcodes, in partnership with Walmart, for use during the self-checkout process.
The claim arises after markets closed on February 26, 2025, when Digimarc announced its financial results for the fourth quarter and the full year of 2024.
The complaint throughout the Class Period and prior to that revelation, Defendants made materially false and 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 or lacked a reasonable basis.
On this news, 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”.