Did you lose money on investments in The Gap, Inc.? If so, please visit The Gap, Inc. Shareholder Class Action Lawsuit or contact Peter Allocco at (212) 951-2030 or pallocco@bernlieb.com to discuss your rights.
NEW YORK, Dec. 27, 2022 (GLOBE NEWSWIRE) -- Bernstein Liebhard LLP, a nationally acclaimed investor rights law firm, reminds investors of the deadline to file a lead plaintiff motion in a securities class action lawsuit that has been filed on behalf of investors who purchased or acquired the securities of The Gap, Inc. (“Gap” or the “Company”) (NYSE: GPS) between November 24, 2021 and July 11, 2022, inclusive (the “Class Period”). The lawsuit was filed in the United States District Court for the Eastern District of New York and alleges violations of the Securities Exchange Act of 1934.
Gap operates as a global apparel retail company. The Company offers apparel, accessories, and personal care products for men, women, and children under the Old Navy, Gap, Banana Republic, and Athleta brands.
In the second half of 2021 the Company introduced BODEQUALITY, a size-inclusivity campaign which introduced up to size 28 in all Old Navy stores. In an August 26, 2021 press release, defendant Sonia Syngal (“Syngal”) touted the importance of BODEQUALITY as one of the Company’s key drivers of long-term sustainable growth.
Plaintiff alleges that Defendants made materially false and misleading statements throughout the Class Period. Specifically, Plaintiff alleges that Defendants failed to disclose that: (1) there were execution missteps in size and assortment at Old Navy related to BODEQUALITY which were adversely impacting Old Navy’s margins and financial results; (2) contrary to the Company’s statements, there were inventory risks relating to BODEQUALITY that were adversely affecting the Company’s operations; and as a result (3) the Company’s statements during the Class Period about the historical financial and operational metrics and purported market opportunities did not accurately reflect the actual business, operations, and financial results of the Company, and were materially false and misleading, and lacked a factual basis.
On April 21, 2022, after market hours, the Company announced that Nancy Green, CEO of Old Navy, had stepped down. On this news, Gap’s stock price fell $2.57 per share, or 17%, to close at $11.72 per share on April 22, 2022.
Then, on May 20, 2022, during market hours, The Wall Street Journal published an article revealing that the Company had improperly managed its inventory of plus size clothing at its Old Navy stores, causing material declines in margins and business results. On this news, the Company’s stock fell 7% to close at $10.93 per share on May 20, 2022.
Further, in its form 10-Q filed with the SEC on May 27, 2022, the Company admitted that execution missteps in size and assortment of inventory at Old Navy adversely impacted the Company’s financial results. On this news, Gap’s stock price fell 4.9% to close at $11.03 per share on May 31, 2022.
Finally, on July 11, 2022, after market hours, the Company announced that Syngal was stepping down from her position as President and CEO of the Company and resigned from the Board of Directors.
On this news, Gap’s stock price fell 5% to close at $8.32 per share on July 12, 2022.
If you wish to serve as lead plaintiff, you must move the Court no later than February 3, 2023. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Your ability to share in any recovery doesn’t require that you serve as lead plaintiff. If you choose to take no action, you may remain an absent class member.
If you purchased or acquired Gap securities, and/or would like to discuss your legal rights and options please visit The Gap, Inc. Shareholder Class Action Lawsuit or contact Peter Allocco at (212) 951-2030 or pallocco@bernlieb.com.
Since 1993, Bernstein Liebhard LLP has recovered over $3.5 billion for its clients. In addition to representing individual investors, the Firm has been retained by some of the largest public and private pension funds in the country to monitor their assets and pursue litigation on their behalf. As a result of its success litigating hundreds of lawsuits and class actions, the Firm has been named to The National Law Journal’s “Plaintiffs’ Hot List” thirteen times and listed in The Legal 500 for ten consecutive years.
ATTORNEY ADVERTISING. © 2022 Bernstein Liebhard LLP. The law firm responsible for this advertisement is Bernstein Liebhard LLP, 10 East 40th Street, New York, New York 10016, (212) 779-1414. Prior results do not guarantee or predict a similar outcome with respect to any future matter.
Contact Information:
Peter Allocco
Bernstein Liebhard LLP
https://www.bernlieb.com
(212) 951-2030
pallocco@bernlieb.com
