The Klein Law Firm announces that a class action complaint has been filed on behalf of shareholders of Peloton Interactive, Inc. (NASDAQ: PTON) who purchased securities between May 10, 2022 and May 10, 2023. The action, which was filed in the United States District Court for the Eastern District of New York, alleges that the Company violated federal securities laws.
In particular, the Peloton lawsuit alleges that (i) the seat posts for certain of the Company’s Peloton Bikes were prone to break or otherwise detach during use, rendering them unsafe for users; (ii) as a result, the Company was likely to recall millions of Peloton Bikes; (iii) accordingly, Peloton overstated its efforts to enhance the safety of its products, understated its estimated future returns, and downplayed the Company’s need to book additional reserves for future product recall expenses; (iv) all the foregoing, once revealed, was likely to negatively impact the Company’s business and financial results and reputation; and (v) as a result, the Company’s public statements were materially false and misleading at all relevant times.
Shareholders have until August 8, 2023 to petition the court for lead plaintiff status. Your ability to share in any recovery does not require that you serve as lead plaintiff. You may choose to be an absent class member.
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