NEW YORK, May 27, 2020 -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, reminds investors that class actions have been commenced on.
NEW YORK, NY / ACCESSWIRE / May 27, 2020 / Levi & Korsinsky, LLP announces that class action lawsuits have commenced on behalf of shareholders of the following publicly-traded companies. Shareholders interested ...
NEW YORK, NY / ACCESSWIRE / May 27, 2020 / The Klein Law Firm announces that class action complaints have been filed on behalf of shareholders of the following companies. There is no cost to participate ...
NEW YORK, NY / ACCESSWIRE / May 28, 2020 / Jakubowitz Law announces that securities fraud class action lawsuits have commenced on behalf of shareholders of the following publicly-traded companies who purchased ...
NEW YORK, NY / ACCESSWIRE / May 28, 2020 / Jakubowitz Law announces that securities fraud class action lawsuits have commenced on behalf of shareholders of the following publicly-traded companies who purchased ...
Luckin Coffee and three other Chinese stocks could be in the blast zone of newly proposed regulations.
SAN FRANCISCO, CA / ACCESSWIRE / May 27, 2020 / Hagens Berman urges investors in GSX Techedu Inc. (NYSE:GSX) who have suffered significant losses to submit their losses now . The June 16, 2020 lead plaintiff ...
New York, New York--(Newsfile Corp. - May 27, 2020) - The following statement is being issued by Levi & Korsinsky, LLP:To: All persons or entities who purchased or otherwise acquired securities of GSX Techedu Inc. ("GSX") (NYSE: GSX) between June 6, 2019 and April 13, 2020. You are hereby notified that a securities class action lawsuit has been commenced in the the United States District Court for the District of New Jersey. To get ...
BENSALEM, Pa., May 28, 2020 -- Law Offices of Howard G. Smith reminds investors that class action lawsuits have been filed on behalf of shareholders of the following.
(Bloomberg) -- To some short sellers, GSX Techedu Inc. is an “almost completely empty box,” with numbers that are too good to be true. To many analysts -- including those at Credit Suisse Group AG, which led the company’s initial public offering -- the Chinese online education firm remains a buy, and detractors just don’t understand the business model.GSX is an after-school tutoring platform whose American depositary receipts began trading last June and had more than quadrupled earlier this year, boosting the fortune of billionaire chairman and founder Larry Chen.Then, in late February, Grizzly Research started questioning GSX’s results. Citron Research followed in April, accusing the company of overstating revenue by as much as 70%. In early May, Scorpio VC concluded the financial data “is not up to the test.” Muddy Waters joined the fray last week, claiming at least 70% of the firm’s users are robots and calling it a massive loss-making business. The ADRs have tumbled 34% from their Feb. 24 peak.Chen, 48, shot back on social media.“Muddy Waters did some homework for the report,” he wrote last week in a post on Weibo, China’s version of Twitter. “It’s just a pity that they didn’t understand the business model of our online live large class.”Outperforming PeersAt GSX, an instructor uses a web platform to teach several hundred students with the help of tutors -- a format that’s increasingly appealing in a world with fewer social interactions. Muddy Waters’ misunderstanding may be because it didn’t try its live courses, or it did and ignored part of the process, a GSX spokeswoman wrote in an email.Despite their recent swoon, the ADRs are still up 36% this year through Wednesday, outperforming peers New Oriental Education & Technology Group Inc. and TAL Education Group. That has helped add $820 million to Chen’s fortune, now worth $3.2 billion, according to the Bloomberg Billionaires Index.The spotlight on Chinese companies listed in the U.S. intensified in early April with an accounting scandal at Luckin Coffee Inc., which several short sellers noted in presenting their arguments against GSX.In its report, Muddy Waters said Chen pledged at least $318 million of ADRs to banks, putting investors at risk if the margin lenders were to sell the securities. Chen said in April he pledged 5.1 million ADRs -- currently worth more than $150 million -- to Credit Suisse for a $50 million loan facility, and the GSX spokeswoman said he hadn’t made additional pledges since then.“No other senior management has pledged any shares, as far as the company is aware,” she added.A Hong Kong-based spokeswoman at Credit Suisse declined to comment. The Swiss bank, which helped several other Chinese companies go public in the U.S., posted a fivefold jump in loan-loss provisions at its Asia-Pacific unit, primarily because of a default by Luckin’s founder, Lu Zhengyao.Each time Muddy Waters exposed alleged wrongdoing at a Chinese company, the usual response is that the short seller doesn’t understand the business, Chief Executive Officer Carson Block wrote in an email, maintaining GSX is deceiving investors.GSX’s response: “Muddy Waters is bluffing.”Teen TeacherBorn in a poor village in northern China, Chen’s father helped him enroll in a tuition-free vocational training school for teachers. He later obtained a master’s degree and doctorate in economics from Renmin University of China, and completed a general manager program at Harvard Business School in 2005, a company filing shows.Chen started his career as a middle school teacher at age 17, according to GSX’s website. He joined New Oriental Education in 1999, eventually becoming executive president before leaving to start GSX in 2014. The Beijing-based provider of online K-12 courses reported 2.1 billion yuan ($294 million) in revenue last year, a fivefold increase from 2018, with 2.7 million enrollments and students in more than 190 countries.Most Wall Street analysts tracked by Bloomberg remain bullish on GSX, with 12 of them recommending that investors buy the ADRs, compared with one sell rating. Terry Weng of Blue Lotus Capital is among the optimists, saying short sellers misunderstand the online big-class business. GSX has higher penetration than peers in low-tier Chinese cities, with better product differentiation and market channels. He estimates the market share of the online large-class, after-school tutoring industry will reach 20% in five years, up from 3.5% now, and generate 200 billion yuan in revenue.Meanwhile, Nasdaq Inc. is looking into IPO rules that would make it harder for some Chinese companies to go public on the exchange. Since the Luckin scandal, billionaire Zhang Bangxin’s TAL disclosed that an employee had wrongly inflated sales, and more short sellers have targeted stocks from the Asian nation trading in the U.S.In his Weibo post last week, Chen said he is “surprised and confused” about short sellers’ attitude. “Don’t they care about their conscience and reputation?”“Weakness and ignorance are not barriers to survival, but arrogance is,” Chen added, quoting the novel “Death’s End” by Chinese author Liu Cixin.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
NEW YORK, NY / ACCESSWIRE / May 27, 2020 / The securities litigation law firm of The Gross Law Firm issues the following notice on behalf of shareholders in the following publicly traded companies. Shareholders ...
NEW YORK, NY / ACCESSWIRE / May 28, 2020 / Labaton Sucharow LLP, a leading and award-winning investor rights law firm, announces a securities class action complaint has been filed on behalf of purchasers ...
Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC reminds investors that a class action lawsuit has been filed against GSX Techedu Inc. ("GSX" or "the Company") (NYSE: GSX) on behalf of shareholders who purchased GSX securities between June 6, 2019 and April 13, 2020, inclusive (the ''Class Period''). This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934. The Complaint alleges that throughout the Class Period, defendants made false and misleading and/or failed to disclose that material adverse information.
Rosen Law Firm, a global investor rights law firm, reminds purchasers of the securities of GSX Techedu Inc. (NYSE: GSX) between June 6, 2019, and April 13, 2020, inclusive (the "Class Period"), of the important June 16, 2020 lead plaintiff deadline in the securities class action commenced by the firm. The lawsuit seeks to recover damages for GSX investors under the federal securities laws.
SAN FRANCISCO, CA / ACCESSWIRE / May 27, 2020 / Hagens Berman urges investors in GSX Techedu Inc. (NYSE:GSX) who have suffered significant losses to submit their losses now . A securities fraud class action ...
Pomerantz LLP announces that a class action lawsuit has been filed against GSX Techedu Inc. (“GSX” or the “Company”) (NYSE: GSX) and certain of its officers. The class action, filed in United States District Court for the District of New Jersey, and indexed under 20-cv-04457, is on behalf of a class consisting of all persons and entities other than Defendants who purchased or otherwise acquired GSX securities between June 6, 2019, and April 13, 2020, both dates inclusive (the “Class Period”), seeking to recover damages caused by Defendants’ violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Rule 10b-5 promulgated thereunder, against the Company and certain of its top officials.
New York, New York--(Newsfile Corp. - May 27, 2020) - The Klein Law Firm announces that a class action complaint has been filed on behalf of shareholders of GSX Techedu Inc. (NYSE: GSX) alleging that the Company violated federal securities laws.Class Period: June 6, 2019 and April 13, 2020Lead Plaintiff Deadline: June 16, 2020Learn more about your recoverable losses in DNK:http://www.kleinstocklaw.com/pslra-1/gsx-techedu-inc-loss-submission-form?id=6957&from=5The filed complaint alleges that GSX Techedu Inc. made materially false and/or misleading statements ...
NEW ORLEANS, May 27, 2020 -- ClaimsFiler, a FREE shareholder information service, reminds investors of pending deadlines in the following securities class action lawsuits:.
SAN FRANCISCO, CA / ACCESSWIRE / May 28, 2020 / Hagens Berman urges investors in GSX Techedu Inc. (NYSE:GSX) who have suffered significant losses to submit their losses now . A securities fraud class action ...
NEW YORK, NY / ACCESSWIRE / May 28, 2020 / The Klein Law Firm announces that class action complaints have been filed on behalf of shareholders of the following companies. There is no cost to participate ...