Napco Security Technologies, Inc.
A securities class action has been filed in the USDC – E.D.N.Y. against Napco Security Technologies, Inc. (NSSC) (“NAPCO” or the “Company”) on behalf of a class consisting of all persons and entities that purchased or otherwise acquired NAPCO securities between November 7, 2022 through August 18, 2023, both dates inclusive (the “Class Period”).
NAPCO engages in the development, manufacture, and distribution of security products. Its products include access control systems, door security products, intrusion and fire alarm systems, video surveillance products, and cellular communication services.
The Complaint alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that:
- NAPCO failed to address any material weaknesses with internal controls regarding COGS and inventory;
- NAPCO downplayed the severity of material weaknesses regarding their internal controls;
- NAPCO’s unaudited financial statements from September 30, 2022 to the present included “certain errors” such as overstating inventory and understanding net COGS, resulting in overstated gross profit, operating income and net income for each period;
- as a result, NAPCO would need to restate its previously filed unaudited financial statements for certain periods; and
- as a result, Defendants’ statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times, thereby harming investors.
If you purchased NAPCO 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”.
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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.
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