Lawsuit filed for Investors who lost money with shares of Napco Security Technologies, Inc. (NASDAQ: NSSC)

An investor, who purchased shares of Napco Security Technologies, Inc. (NASDAQ: NSSC), filed a lawsuit over alleged violations of Federal Securities Laws by Napco Security Technologies, Inc. in connection with certain allegedly false and misleading statements.

Investors who purchased shares of Napco Security Technologies, Inc. (NASDAQ: NSSC) have certain options and for certain investors are short and strict deadlines running. Deadline: June 24, 2025. NASDAQ: NSSC investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

Amityville, NY based Napco Security Technologies, Inc. develops, manufactures, and sells electronic security products in the United States and internationally.

Napco Security Technologies, Inc. (NASDAQ: NSSC) reported that its Total Revenue rose from $169.99 million for the 12 months period that ended on June 30, 2023, to $188.82 million for the 12 months period that ended on June 30, 2024, and that its Net Income over those respective time periods increased from $27.12 million to $49.81 million.
On February 3, 2025,a report was published entitled "NAPCO Security stock tumbles after Q2 sales decline." The report stated that "[s]hares of NAPCO Security Technologies, Inc. [. . .] plummeted 27% following the announcement of its fiscal 2025 second quarter results, which revealed a decrease in net sales and diluted earnings per share (EPS) compared to the same period last year." The report continued to state that "Richard Soloway, Chairman and CEO, attributed the equipment revenue shortfall to lagging sales in intrusion and access alarm products and door locking devices. The company cited specific issues with two of its larger distributors; one reduced purchases to cut inventory levels, and another underwent a management restructuring that delayed transaction approvals. Soloway expressed disappointment in the overall equipment sales but remains optimistic about future improvements."

Shares of Napco Security Technologies, Inc. (NASDAQ: NSSC) declined from $58.09 per share on August 19, 2024, to as low as $19.00 per share on April 07, 2025.

The plaintiff claims that between February 5, 2024 and February 3, 2025, the Defendants provided these overwhelmingly positive statements to investors while, at the same time, disseminating materially false and misleading statements and/or concealing material adverse facts concerning the true state of Napco's ability to forecast the demand for its products or otherwise the true state of Napco's negotiating position with distributors; notably, that, despite making lofty long-term projections and claiming one-off setbacks to hardware sales, Napco's forecasting processes fell short as sales continued to decline and, ultimately, derailed the Company's long-term projections, and that such statements absent these material facts caused Plaintiff and other shareholders to purchase Napco's securities at artificially inflated prices.

Those who purchased shares of Napco Security Technologies, Inc. (NASDAQ: NSSC) 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

About Shareholders Foundation, Inc.
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.