Satoshi Nakamoto Blog
Image default
Class Action Lawsuit GPU Hardware litigation Mining N-Featured nvidia shall shall law firm

Litigation Firm Files Lawsuit Against Nvidia for Statements Regarding Crypto


Hardware

Shall Law Firm, an American shareholder rights litigation firm, has announced the filing of a class action lawsuit against Nvidia with regards to statements pertaining to the company’s outlook regarding the effect that declining cryptocurrency prices could have on the performance of its shares.

Also Read: Bitcoin Whales and the Rise of Crypto-Fueled OTC Desks in 2018

Firm Files Class Action Against Nvidia

Litigation Firm Files Lawsuit Against Nvidia for Statements Regarding CryptoA Los Angeles-based law firm has announced the filing of a class action lawsuit accusing graphics card manufacturer, Nvidia, for “violations of §§10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.”

Nvidia is accused of making “false and misleading statements to the market” regarding assertions that a significant decline in demand for graphics processing units (GPUs) would not negatively impact the company’s operations and performance due to high demand from the gaming sector.

Schall Law Firm is currently encouraging investors who purchased Nvidia’s shares between Aug. 10, 2017, and Nov. 15, 2018, to contact the firm before Feb. 19, 2019, especially investors who incurred losses exceeding $100,000.

According to Shall, the GPU manufacturer “touted its ability to monitor the cryptocurrency market and make rapid changes to its business as necessary” and made “materially misleading” comments throughout the six-month period.

Nvidia Hit Hard by Cryptocurrency Downturn

Litigation Firm Files Lawsuit Against Nvidia for Statements Regarding CryptoNvidia appears to have been significantly hit by the cryptocurrency bear trend, with the company having the worst performing stock in the S&P 500 of the fourth quarter of 2018 with a 54 percent loss in value.

While a number of chip stocks have performed poorly of late – with the PHLX Semiconductor Sector Index, comprised of 30 companies including Nvidia, dropping 19 percent, and Advanced Micro Devices stock losing 45 percent – many have cited declining demand for mining hardware as a catalyst for Nvidia’s notably poor performance.

The recent dumping appears to have been fueled by the reporting of a weaker-than-anticipated quarterly revenue and guidance from Nvidia last month, with the company’s stock falling roughly 19 percent on the trading day following the earnings report.

“The crypto hangover has left the industry with excess inventory – excess channel inventory,” Nvidia’s chief executive officer, Jensen Huang, stated on a conference call at the time.

Do you see merit in the case being brought against Nvidia? Do you agree with Shall that Nvidia made false and misleading statements? Share your thoughts to the comments section below!


Images courtesy of Shutterstock


At Bitcoin.com there’s a bunch of free helpful services. For instance, have you seen our Tools page? You can even lookup the exchange rate for a transaction in the past. Or calculate the value of your current holdings. Or create a paper wallet. And much more.





Source link

Related posts

In the Daily: New FSB Chair Fears Crypto, Wikileaks Goes After CSW, Bakkt Update

satoshi

Samsung Seeks UK Trademark For Cryptocurrency WalletSamsung Seeks UK Trademark For Cryptocurrency Wallet

satoshi

Rural Washington County Utility Proposes Increased Electricity Costs for Crypto MinersRural Washington County Utility Proposes Increased Electricity Costs for Crypto Miners

satoshi

Drones ground flights at UK’s second largest airport

satoshi

Crypto Luminary Impersonation Scammers on Social Media Raked in Millions in 2018

satoshi

Cryptojacking Malware Targets Linux and IoT Users to Mine Monero Cryptocurrency

satoshi