Ollie’s Bargain Outlet Holdings, Inc. (Nasdaq: OLLI)
A class action has been filed in the United States District Court for the Southern District of New York on behalf of purchasers of Ollie’s Bargain Outlet Holdings, Inc. (Nasdaq: OLLI) securities during the period between June 6, 2019 to August 28, 2019, (the “Class Period”).
The Ollie’s class action lawsuit alleges that throughout the Class Period, defendants made materially false and misleading statements and/or failed to disclose material adverse facts about Ollie’s business, operations, and prospects. Specifically, defendants failed to disclose that Ollie’s had suffered a supply chain issue that impacted the initial inventory available at new stores and that, as a result, Ollie’s lacked sufficient inventory to meet demand at certain store locations. As a consequence of the supply chain issue, Ollie’s comparable store sales were likely to be negatively impacted. As a result of this information being withheld from the market, Ollie’s shares traded at artificially inflated prices, with its stock price reaching a high of more than $95 per share.
On August 28, 2019, Ollie’s reported disappointing financial results for the second quarter of 2019, including a 1.7% decrease in comparable store sales, and lowered its fiscal 2019 guidance. In addition, Ollie’s disclosed that a “bottleneck issue” had existed in its supply chain “for most all of” the second quarter and that the bottleneck was not corrected until “the last week of the quarter.” Ollie’s also stated that, “[i]n light of these results and expectations for the remainder of the year, the Company is revising its full-year guidance.” On this news, the price of Ollie’s shares fell $21.41 per share, or over 27%, to close at $56.36 per share on August 29, 2019.
If you are a current shareholder and/or purchased stock during the period between June 6, 2019 to August 28, 2019, and would like to discuss your options of exercising your rights as a shareholder, please contact us.
Please submit the following information so we can determine if you qualify for the suit. If you don't know all the specific details, partial information is also acceptable.