Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses Exceeding $50,000 In Healthcare Services Group, Inc. To Contact The Firm
Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Healthcare Services Group, Inc. (“Healthcare Services Group” or the “Company”) (NASDAQ:HCSG) of the May 21, 2019 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you invested in Healthcare Services Group stock or options between April 11, 2017 and March 4, 2019 and would like to discuss your legal rights, please fill out the form below. There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to firstname.lastname@example.org.
FARUQI & FARUQI, LLP
685 Third Avenue, 26th Floor
New York, NY 10017
Attn: Richard Gonnello, Esq.
Telephone: (877) 247-4292 or (212) 983-9330
The lawsuit has been filed in the U.S. District Court for the Eastern District of Pennsylvania on behalf of all those who purchased Healthcare Services Group securities between April 11, 2017 and March 4, 2019 (the “Class Period”). The case, Koch v. Healthcare Services Group, Inc. et al., No. 19-cv-01227 was filed on March 22, 2019, and has been assigned to Judge Eduardo C. Robreno.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by making false and or misleading statements and/or failing to disclose that: (1) the Company had been accused of strategically rounding quarterly earnings per share and therefore, investors could not rely upon the Company's track record without conducting a thorough investigation into the allegations; (2) the Securities and Exchange Commission (“SEC”) had written to the Company in November 2017 to inquire into the Company's earnings per share (“EPS”) rounding practices; (3) the Company concealed from investors the fact that the SEC delivered a subpoena to the Company in March 2018 commanding the Company to produce documents to the SEC in connection with how it calculated earnings per share; and (4) as a result, Defendants' statements about the Company's business, operations and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.
On March 4, 2019, in a Form 8-K filed with the SEC, the Company disclosed that it had received a letter in November 2017 from the SEC regarding an inquiry that the SEC was conducting into EPS calculation practices and requesting that the Company voluntarily provide certain information and documents relating to its EPS rounding and reporting practices. The March 4, 2019 Form 8-K also revealed to investors that, during the fourth quarter of 2018, the Company authorized its outside counsel to conduct an internal investigation, under the direction of the Company's Audit Committee, into matters related to the SEC subpoena.
On this news, the Company's stock price fell from $37.74 per share on March 1, 2019 to $32.78 per share on March 4, 2019—a $4.96 or 13.14% drop.
Healthcare Services Group, Inc. (HCSG)
* The submission of this form does not create an attorney-client relationship.
Filed on 03/06/2019
685 Third Avenue 26th Floor
10017 New York, New York
Phone (212) 983-9330
Fax (212) 983-9331
Richard W. Gonnello email@example.com Phone (212) 983-9330 Fax (212) 983-9331