New York, NY (Law Firm Newswire) April 14, 2014 - Zamansky LLC announces that it is investigating Gigamon, Inc. (NYSE: GIMO) for potential violations of the federal securities laws stemming from possible misrepresentations and omissions concerning the Gigamon’s reliance on certain customer contracts.
On April 7, 2014, after the market closed, Gigamon announced that expected revenue for the first quarter ending March 29, 2014, would be $31 - $31.5 million, down from previous guidance offered on February 4, 2014 of $34 - $35 million. The 10% drop in revenue was attributed primarily to a contract that did not materialize from an existing customer. The investigation concerns whether investors, including those who relied on prior guidance or heard Gigamon’s November 4, 2013 conference call, were led to believe that revenue was not so heavily concentrated with any one customer.
After this change in forecasted revenue, the stock closed on April 7 at $17.31, down $8.89, a market capitalization loss of over $250 million.
What Gigamon Investors Can Do
If you invested in Gigamon stock between November 5, 2013 through April 7, 2014 , you may be eligible to file a legal proceeding to seek recovery of any damages suffered. If wish to have your circumstances or investment reviewed or discuss your legal rights, you may, without obligation or cost to you, email jake(at)zamansky(dot)com or call the law firm at (212) 742-1414.
About Zamansky LLC
Zamansky LLC is a leading stock law firm specializing in securities fraud and investor class actions. We are stock fraud attorneys who represent both individual and institutional investors. Our practice is nationally recognized for our ability to aggressively prosecute cases and recover investment losses.
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