SAN DIEGO, Jan. 13, 2015 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed on behalf of certain purchasers of shares of Five Below Inc (FIVE) over alleged Federal Securities Laws Violations by Five Below.
Investors who purchased shares of Five Below Inc (Nasdaq:FIVE) have certain options and for certain investors are short and strict deadlines running. Deadline: March 10, 2015. NASDAQ: FIVE investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff claims that while actively concealing from investors that Five Below Inc's two founders intended to step down from their roles as Chief Executive Officer ("CEO") and Chairman and name as CEO their newly hired President – who was relatively new to Five Below and totally untested in the role of CEO at a publicly traded company – Five Below Inc raised its fiscal 2014 sales and earnings guidance twice, once on June 5, 2014 and then again on September 10, 2014.
The plaintiff alleges that with the price of Five Below Inc common stock increasing on their alleged misrepresentations about Five Below Inc's business metrics and financial prospects, reaching a high of nearly $48 in intraday trading, both of Five Below Inc's founders and its Chief Financial Officer cashed in, selling almost $30 million worth of their personally held shares at fraud-inflated prices.
The plaintiff alleges that on December 4, 2014, Five Below disclosed that its sales growth had diminished and that it was reducing its annual sales and profit forecasts and that on the same day, Five Below Inc's two founders announced their resignations as CEO and Chairman of Five Below – disclosing that the newly hired President was taking over as CEO. Shares of Five Below Inc (Nasdaq:FIVE) declined from over $46 per share in November 2014 to as low as $37.14 per share on December 10, 2014.
On January 12, 2015, NASDAQ: FIVE shares closed at $34.43 per share.
Those who purchased shares of Five Below Inc (Nasdaq:FIVE) have certain options and should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.