A securities class action has been filed in the USDC — E.D.N.Y. against OddityTech Ltd. (ODD) (“Oddity” or the “Company”), on behalf of all persons or entities that purchased or otherwise acquired Oddity securities between July 19, 2023 and May 20, 2024, both dates inclusive (the “Class Period”).
Oddity describes itself as “a consumer tech platform that is built to transform the global beauty and wellness market.” The Company purports to serve customers worldwide through its artificial intelligence- (“AI”) driven online platform, using data science, machine learning, and computer vision capabilities to identify consumer needs, as well as develop solutions in the form of beauty and wellness products.
The claim arises on May 21, 2024, during pre-market hours, NINGI Research (“Ningi”) published a report regarding Oddity, alleging that the Company “completely misled investors about every critical aspect of its business[.]” Also on May 21, 2024, less than an hour before markets closed, Oddity issued a response to the Ningi Report, which failed to rebut, as well as acknowledged the veracity of, certain of the report’s allegations.
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that:
(1) Oddity overstated its AI technology and capabilities, and/or the extent to which this technology drove the Company’s sales;
(2) Oddity’s repeat purchase rates and revenues were, at least in part, derived from unsustainable and deceptive sales and advertising practices;
(3) Oddity downplayed the true scope and severity of ongoing civil litigation against the Company and/or its subsidiaries; and
(4) as a result, Oddity’s public statements were materially false and misleading at all relevant times.
As a result, Oddity’s Class A ordinary share price fell $3.02 per share, or 7.37%, to close at $37.97 per share on May 21, 2024. Indeed, notwithstanding the Company’s purported rebuttal, Oddity’s Class A ordinary share price continued to decline by an additional $1.30 per share, or 3.42%, over the following two consecutive trading sessions, closing at $36.67 per share on May 23, 2024.
If you purchased Oddity 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.