NEW YORK, Aug. 26, 2024 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, is investigating potential claims against Arhaus, Inc (NASDAQ: ARHS), Cardlytics, Inc. (NASDAQ: CDLX), and CVRx, Inc. (NASDAQ: CVRX). Our investigations concern whether these companies have violated the federal securities laws and/or engaged in other unlawful business practices. Additional information about each case can be found at the link provided.
Arhaus, Inc. (NASDAQ: ARHS)
On or around November 4, 2021, Arhaus conducted its initial public offering (“IPO”), selling 12.9 million shares priced at $13.00 per share. Then, on April 29, 2024, Arhaus issued a press release disclosing that “the Company’s previously issued unaudited condensed consolidated financial statements included in Amendment No. 1 to the Company’s Quarterly Report on Form 10-Q/A for the period ended September 30, 2023 (the ‘Q3 Form 10-Q/A’ and such period, the ‘Affected Period’), filed with the U.S. Securities and Exchange Commission (the ‘SEC’) on March 11, 2024, should no longer be relied upon due to the errors described below and should be restated.” Arhaus stated that it had “identified errors within the unaudited condensed consolidated balance sheet as of September 30, 2023 related to certain cash receipts from landlord reimbursements prior to showroom completion being incorrectly included in property, furniture and equipment, net” and that “[t]he errors also resulted in inaccurate cash flows ascribed to operating and investing activities in the unaudited condensed consolidated statement of cash flows for the nine months ended September 30, 2023.” Accordingly, Arhaus “estimates that the impact of the errors will result in an increase in net cash provided by operating activities and an increase in net cash used in investing activities in the range of approximately $1 million to $5 million in the unaudited condensed consolidated statement of cash flows for the nine months ended September 30, 2023.” Arhaus further advised that it “will restate its financial statements for the Affected Period . . . as soon as practicable.” On this news, Arhaus’s stock price fell $0.80 per share, or 5.94%, to close at $12.66 per share on April 30, 2024.
Then, on August 8, 2024, Arhaus issued a press release announcing its financial results for the second quarter of 2024. Among other items, Arhaus reported revenue of $310 million, representing a year-over-year decline of 0.9% and missing consensus estimates by $4.28 million. On this news, Arhaus’s stock price fell $1.74 per share, or 12.57%, to close at $12.10 per share on August 8, 2024.
For more information on the Arhaus investigation go to: https://bespc.com/cases/ARHS
Cardlytics, Inc. (NASDAQ: CDLX)
On August 7, 2024, Cardlytics announced its second quarter 2024 financial results, revealing a 9% year-over-year decrease in revenue to $69.6 million, alongside a 3% decline in adjusted contribution to $36.4 million. The Company also disclosed that Karim Temsamani stepped down as Chief Executive Officer and from the Board of Directors.
On this news, Cardlytics' stock price fell $3.94 per share, or 57.10%, to close at $2.96 per share on August 8, 2024.
For more information on the Cardlytics investigation go to: https://bespc.com/cases/CDLX
CVRx, Inc. (NASDADQ: CVRX)
The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. The Centers for Medicare and Medicaid Services (“CMS”) issued proposed payment rates for outpatient and Ambulatory Surgical Center (“ASC”) services on July 10, 2024. Piper Sandler issued a note indicating that under the CMS rules, reimbursement for CVRx’s heart failure device would fall by 38.1% for ASC services and by 32.9% for hospital outpatient services. Based on this news, shares of CVRx fell by more than 38.5% on the same day.
For more information on the CVRx investigation go to: https://bespc.com/cases/CVRX
About Bragar Eagel & Squire, P.C.:
Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York, California, and South Carolina. The firm represents individual and institutional investors in commercial, securities, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.
Contact Information:
Bragar Eagel & Squire, P.C.
Brandon Walker, Esq.
Marion Passmore, Esq.
(212) 355-4648
investigations@bespc.com
www.bespc.com
