BENSALEM, Pa.–(BUSINESS WIRE)–Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased Quantum Corporation (“Quantum” or the “Company”) (NASDAQ: QMCO) securities between November 15, 2024, and August 18, 2025, inclusive (the “Class Period”). Quantum investors have until November 3, 2025 to file a lead plaintiff motion.
IF YOU ARE AN INVESTOR WHO SUFFERED A LOSS IN QUANTUM CORPORATION (QMCO), CONTACT THE LAW OFFICES OF HOWARD G. SMITH TO PARTICIPATE IN THE ONGOING SECURITIES FRAUD LAWSUIT.
Contact the Law Offices of Howard G. Smith to discuss your legal rights by email at [email protected], by telephone at (215) 638-4847 or visit our website at www.howardsmithlaw.com.
What Happened?
On June 30, 2025, Quantum disclosed that it would be unable to timely file its annual financial report for the fiscal year 2025 as it is “reviewing its accounting related to certain revenue contracts as well as the application of standalone selling price under applicable accounting standards.”
On this news, Quantum’s stock price fell $1.00, or 10.03%, to close at $8.97 per share on June 30, 2025, thereby injuring investors.
Then, on August 8, 2025, Quantum announced that its third quarter 2024 financial statements “should no longer be relied upon” due to “deficiencies in the Company’s internal control over financial reporting and the Company’s disclosure controls and procedures that constituted material weaknesses.” The Company further disclosed that the affected financial statements would be restated to show a new decrease of approximately $3.9 million in revenue.
On this news, Quantum’s stock price fell $0.14, or 1.79%, to close at $7.66 per share on August 11, 2025.
Then, on August 18, 2025, Quantum disclosed that its CEO would be resigning from the role after only five months in the position.
On this news, Quantum’s stock price fell $0.61, or 8.2%, to close at $6.83 per share on August 19, 2025, thereby injuring investors further.
What Is The Lawsuit About?
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Quantum improperly recognized revenue during the fiscal year ended March 31, 2025; (2) as a result, Quantum would need to restate its previously filed financial statements for the fiscal third quarter ended December 31, 2024; and (3) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
Contact Us To Participate or Learn More:
If you purchased Quantum securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us:
Law Offices of Howard G. Smith,
3070 Bristol Pike, Suite 112,
Bensalem, Pennsylvania 19020,
Telephone: (215) 638-4847
Email: [email protected],
Visit our website at: www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Contacts
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
[email protected]
www.howardsmithlaw.com
