STS investors may receive additional information about the case by clicking the link "Join this Class Action" above.
According to the complaint, STS manufactures and sells truck bodies and specialty vehicles in the United States.
The Class Period commences on July 22, 2016, when STS held a conference call to discuss the earnings of the second quarter of 2016. On the call, STS’s CFO, Matthew Long, discussed earning projections for the third quarter of 2016, stating in relevant part, “we have some serious leverage on our fixed cost with the increased volume as you look at the backlog, the backlog is going to settle more towards the way it looked Q3 last year. So, I wouldn't expect that same level of leverage on the fixed cost.”
According to the complaint, however, on October 21, 2016, STS issued a press release reporting on the earnings of the third quarter of 2016. The press release addressed a decline in backlog, stating in relevant part, “At the end of the third quarter of 2016, order backlog was $58.1 million, which was down from the $74.4 million in order backlog at the end of last year’s same quarter. The timing of several large orders increased the backlog at the end of the third quarter 2015.”
Following this news, shares of STS fell $4.28 per share, or over 23.8%, from its previous closing price to close at $13.68 per share on October 21, 2016.
The complaint alleges that throughout the Class Period, the defendants made false and/or misleading statements and/or failed to disclose that: (1) the backlog figure from the third quarter of 2015 was a result of the timing of several large orders placed in that quarter; (2) the backlog figure for the third quarter of 2016 would not be close to the backlog figure of the third quarter of 2015; and (3) as a result, the defendants’ public statements about STS’s business, operations and prospects were materially false and misleading at all relevant times.
If you are a member of the class described above, you may no later than January 3, 2017 move the Court to serve as lead plaintiff of the class, if you so choose.
A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Any member of the purported class may move the court to serve as a lead plaintiff through counsel of their choice, or may choose to do nothing and remain an inactive class member.
Kessler Topaz Meltzer & Check, LLP has not filed a complaint in this matter. If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP toll free at 1-888-299-7706 or 1-610-667-7706, or via e-mail at firstname.lastname@example.org.
Kessler Topaz Meltzer & Check, LLP
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