| Company: | Compellent Technologies Inc, |
| Ticker Symbol: | CML |
| Class Period: | Oct-28-09 to Apr-7-10 |
| Date Filed: | Apr-14-10 |
| Lead Plaintiff Deadline: | Jun-13-10 |
| Court: | District of Minnesota |
| Allegations: | |
The complaint charges Compellent and certain of its officers and executives with violations of the Exchange Act. Compellent develops, markets, and services enterprise-class network storage solutions in the United States and internationally.
The complaint alleges that, throughout the Class Period, defendants failed to disclose material adverse facts about the Company's true financial condition, business and prospects. Specifically, the complaint alleges that defendants failed to disclose: (i) that the Company was experiencing increasing competition which was forcing it to dramatically lower prices in order to continue to generate sales in line with internal expectations; (ii) that as a result of increased competition, the Company was being forced to raise expenditures associated with acquiring new customers far in excess of internal expectations; (iii) that the Company was experiencing significant issues with its sales force which were further complicating and exacerbating the negative impact of slowing sales; and (iv) that, based on the foregoing, defendants lacked a reasonable basis for their positive statements about the Company, its prospects and growth.
On April 7, 2010, the Company announced its preliminary financial results for the first quarter of 2010, the period ended March 31, 2010. Upon the disappointing announcement, shares of the Company's stock fell $4.54 per share, or 26%, to close at $13.02 per share, on unusually heavy trading volume.
Plaintiff seeks to recover damages on behalf of all purchasers of the common stock of Compellent during the Class Period (the "Class"). The plaintiff is represented by Robbins Geller, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
