Investigation announced for Long-Term Investors in AXT, Inc. (NASDAQ: AXTI) over potential Wrongdoing

An investigation was announced. on behalf of current long-term investors in shares of AXT, Inc. (NASDAQ: AXTI) concerning potential breaches of fiduciary duties by certain directors and officers of AXT, Inc.

Investors who are current long term investors in AXT, Inc. (NASDAQ: AXTI) shares, have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

The investigation by a law firm for current long term investors in NASDAQ: AXTI stocks follows a lawsuit filed against AXT, Inc. over alleged securities laws violations. The investigation on behalf of current long term investors in NASDAQ: AXTI stocks, concerns whether certain AXT, Inc. directors are liable in connection with the allegations made in that lawsuit.

Fremont, CA based AXT, Inc. designs, develops, manufactures, and distributes compound and single element semiconductor substrates. AXT, Inc. reported that its annual Total Revenue declined from $141.11 million in 2022 to $75.79 million in 2023, and that its Net Income of $15.81 million in 2022 turned to a Net Loss of $17.88 million in 2023.

On April 4, 2024, J Capital Research published a report concerning AXT, Inc.. As per the report, "AXTI is listed in the U.S., but its business operations are almost all conducted through a subsidiary in China. AXTI wants to list that subsidiary in Shanghai to capture new financing. But the listing prospectus attracted unexpected scrutiny and unveiled a plethora of undisclosed issues in China." Further stating, "We have uncovered a deluge of reasons why Chinese regulators potentially blocked this IPO, including falsifying data, tax evasion, improper storage of hazardous chemicals, suspicious related-party transactions, IP litigation, and defaulting on litigation, and defaulting on wages to employees."

Shares of AXT, Inc. (NASDAQ: AXTI) declined from $5.64 per share on March 21, 2024, to as low as $3.03 per share on April 05, 2024.

On May 6, 2024 a lawsuit was filed by an investor in NASDAQ: AXTI over alleged securities laws violations by AXT, Inc. According to that complaint filed in the U.S. District Court for the Eastern District of New York the plaintiff alleges that the defendants made materially false and/or misleading statements and/or failed to disclose that AXT, Inc. overstated its property holdings, that the Company did not disclose that the attempted listing of an AXT, Inc. subsidiary in China had reportedly failed, that AXT, Inc. routinely engaged in environmental violations and unsafe business practices, that AXT's production declined in 2023, and that as a result, Defendants' statements about its business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis at all times.

On July 26, 2024, the Court appointed a lead plaintiff and lead counsel.

Those who purchased shares of AXT, Inc. (NASDAQ: AXTI) have certain options and should contact the Shareholders Foundation.

Contact:
Michael Daniels
Shareholders Foundation, Inc.
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
Tel: +1-(858)-779-1554
E-Mail: mail@shareholdersfoundation.com

The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, and an investor advocacy group, which does research related to shareholder issues and informs investors of securities lawsuits, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.

This release was published on openPR.