NEW YORK - Bragar Eagel & Squire, P.C., a law firm known for representing shareholder rights, has initiated class-action lawsuits on behalf of investors against four NASDAQ-listed companies: Maison Solutions Inc. (NASDAQ: MSS), Dada Nexus Ltd . ADR (NASDAQ: NASDAQ:DADA), Future FinTech Group Inc. (NASDAQ: FTFT), and AlloVir, Inc. (NASDAQ: ALVR). The lawsuits allege various forms of misconduct by each company, ranging from misleading financial statements to overstated revenues and efficacy concerns about a key product.
For Maison Solutions Inc., the class action pertains to investors who purchased shares linked to the company's October 2023 initial public offering (IPO) or between October 5, 2023, and December 15, 2023. The complaint alleges that the offering documents for the IPO contained false statements or omissions, including issues related to the company's auditors and underwriters, an undisclosed related party vendor, and past legal issues of a company executive.
Dada Nexus Ltd. faces allegations that it overstated revenues from online advertising and marketing services and understated operations and support costs, leading to the need for an independent review to determine the financial impact of these practices. These issues were not disclosed to investors during the class period from May 11, 2023, to January 8, 2024.
Future FinTech Group Inc. is accused of stock price manipulation by an executive and providing misleading information to the Securities and Exchange Commission about stock ownership. The lawsuit covers the period from March 10, 2020, to January 11, 2024, and includes claims of understated legal risks and undisclosed measures to prop up stock prices.
Lastly, AlloVir, Inc. is alleged to have made false and misleading statements about its business operations, particularly regarding the efficacy and prospects of its posoleucel Phase 3 studies. The complaint covers the period from March 22, 2022, to December 21, 2023, culminating in the company's announcement on December 22, 2023, that it would discontinue the posoleucel studies and explore strategic alternatives, resulting in a significant stock price drop.
Investors in these companies have deadlines in March 2024 to petition the court to serve as lead plaintiff in the respective class actions.
The information in this article is based on a press release statement from Bragar Eagel & Squire, P.C.
InvestingPro Insights
Amidst the class-action lawsuit against Future FinTech Group Inc. (NASDAQ: FTFT), investors are closely scrutinizing the company's financial health and stock performance. According to real-time data from InvestingPro, Future FinTech's market capitalization stands at a modest 23.72 million USD. The company's Price / Book ratio as of the last twelve months ending Q3 2023 is particularly low at 0.4, suggesting the stock might be undervalued relative to its assets. However, this must be considered in light of the company's P/E Ratio, which is negative at -2.45 for the same period, indicating the company is not currently profitable.
InvestingPro Tips highlight that despite a strong return over the last month of 30.39%, and an even more impressive three-month return of 82.22%, FTFT has experienced significant price volatility. This is evidenced by a six-month price total return of -29.82% and a one-year price total return of -30.37%. Furthermore, the company is quickly burning through cash, which is a critical factor for investors to consider, especially in the context of the ongoing lawsuit.
Investors interested in a deeper analysis of Future FinTech Group Inc. can find additional InvestingPro Tips, which provide insights into the company's financial stability, stock performance, and valuation metrics. There are 13 additional tips available, which can be accessed through the dedicated InvestingPro page for FTFT at https://www.investing.com/pro/FTFT. For those seeking to subscribe to InvestingPro, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.