Lawsuit filed for Investors in shares of Lantronix, Inc. (NASDAQ: LTRX) over alleged Securities Laws Violations

An investor, who purchased shares of Lantronix, Inc. (NASDAQ: LTRX), filed a lawsuit over alleged violations of Federal Securities Laws by Lantronix, Inc. in connection with certain allegedly false and misleading statements.

Investors who purchased shares of Lantronix, Inc. (NASDAQ: LTRX) have certain options and for certain investors are short and strict deadlines running. Deadline: April 23, 2024. NASDAQ: LTRX investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

Irvine, CA based Lantronix, Inc. is a global industrial and enterprise internet of things ("IoT") provider of solutions that purportedly target high growth applications in specific verticals such as smart grids, intelligent transportation, smart cities, and artificial intelligence data centers. Lantronix, Inc. organizes its products and solutions into three product lines Embedded IoT Solutions, IoT System Solutions, and Software & Services. The Company's sales channels are comprised of distributors, resellers, and direct sales to larger original equipment manufacturers and end users, as well as through its ecommerce site.

In May 2023, Lantronix, Inc. forecasted that it would achieve revenue in a range of $175 million to $185 million, as well as non-GAAP earnings-per-share ("EPS") in a range of $0.50 to $0.60 per share, for its fiscal year 2024 results.

On February 8, 2024, Lantronix, Inc. announced its financial results for the second quarter of its fiscal year 2024. Therein, Lantronix, Inc. negatively revised its fiscal year 2024 guidance, advising that "[f]or fiscal year 2024, the company [now] expects revenue in a range of $155 million to $165 million"-versus the previously provided range of $175 million to $185 million-"and non-GAAP EPS in a range of $0.35 to $0.45 per share"-versus the previously provided range of $0.50 to $0.60 per share. On a call with investors and analysts to discuss these results, Company management revealed that "[t]he change in our annual guidance is primarily due to lower expected sales for our embedded IOT solutions as a result of two factors", namely, "[a] general slowdown in our broad-based channel business as customers work through their inventories, and an embedded compute design win in video applications that was slated for revenue in the second half of fiscal 2024 that pushed into fiscal 2025."

Shares of Lantronix, Inc. (NASDAQ: LTRX) declined from $6.90 per share on January 23, 2024, to as low as $3.77 per share on February 13, 2024.

The plaintiff claims that between May 11, 2023 and February 8, 2024, the Defendants made false and/or misleading statements and/or failed to disclose that Lantronix overstated demand and/or its visibility into demand for its IoT products, that Lantronix's customers were reducing elevated levels of inventory of IoT products, thereby causing a general slowdown in the Company's business, that certain of Lantronix's embedded IOT revenues expected from a customer design win were delayed to the next fiscal year, that as a result of all the foregoing, Lantronix anticipated lower sales for its embedded IOT solutions for fiscal year 2024, that accordingly, Lantronix was unlikely to meet its own previously issued guidance for fiscal year 2024, and that as a result, the Company's public statements were materially false and/or misleading at all relevant times.

Those who purchased shares of Lantronix, Inc. (NASDAQ: LTRX) have certain options and should contact the Shareholders Foundation.

Contact:
Michael Daniels
Shareholders Foundation, Inc.
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
Tel: +1-(858)-779-1554
E-Mail: mail@shareholdersfoundation.com

About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, and an investor advocacy group, which does research related to shareholder issues and informs investors of securities lawsuits, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.

This release was published on openPR.