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Editorial Advisory Board

  • Professor Andrea M. Armani, University of Southern California
  • Ruti Ben-Shlomi, Ph.D., LightSolver
  • James Butler, Ph.D., Hamamatsu
  • Natalie Fardian-Melamed, Ph.D., Columbia University
  • Justin Sigley, Ph.D., AmeriCOM
  • Professor Birgit Stiller, Max Planck Institute for the Science of Light, and Leibniz University of Hannover
  • Professor Stephen Sweeney, University of Glasgow
  • Mohan Wang, Ph.D., University of Oxford
  • Professor Xuchen Wang, Harbin Engineering University
  • Professor Stefan Witte, Delft University of Technology

FINAL DEADLINE ALERT: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of DMC

Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In DMC To Contact Him Directly To Discuss Their Options

If you purchased or acquired securities in DMC between January 29, 2024 and November 4, 2024 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).

[You may also click here for additional information]

Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against DMC Global Inc. (“DMC” or the “Company”) (NASDAQ: BOOM) and reminds investors of the February 4, 2025 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.

Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.

As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: (1) the goodwill associated with Acadia Products was overstated due to the adverse events and circumstances affecting that reporting segment; (2) DMC Global’s materially inadequate internal systems and processes were adversely affecting its operations; (3) the Company’s inadequate systems and processes prevented it from ensuring reasonably accurate guidance and that its public disclosures were timely, accurate, and complete; (4) as a result, Defendants misrepresented DMC Global’s operations and financial results; and/or (5) as a result, the Company’s public statements were materially false, misleading, or lacked a reasonable basis when made.

On October 21, 2024, DMC announced a revision to its financial guidance for the fiscal quarter concluding on September 30, 2024. The company now anticipates that its adjusted EBITDA will be approximately $5 million, significantly reduced from the previously forecasted range of $15 to $18 million. Additionally, DMC indicated that its third quarter financial results will incorporate charges related to inventory and bad debts amounting to approximately $5 million at DynaEnergetics, coupled with decreased fixed overhead absorption due to lower sales at both Arcadia and DynaEnergetics. Moreover, the company disclosed that its financial results will reflect an approximate $142 million non-cash goodwill impairment charge stemming from DMC's acquisition of a controlling interest in Arcadia in December 2021.

After this disclosure, the market value of DMC’s stock experienced a decline of $2.36 per share, or 18.3%, closing at $10.57 per share on October 22, 2024. This substantial decrease in stock price resulted in financial detriment to the investors.

Further developments occurred on November 4, 2024, when DMC released its financial outcomes for the third quarter of the fiscal year ending September 30, 2024. Following this announcement, DMC's stock value continued to decline, exhibiting a decrease of over 10% during mid-day trading on November 5, 2024.

On November 13, 2024, the Company announced that Defendant Michael Kuta would retire as the Company's President, Chief Executive Officer ("CEO") and as a member of the Board effective November 29, 2024, and that James O'Leary would assume the role of interim President and CEO.

The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.

Faruqi & Faruqi, LLP also encourages anyone with information regarding DMC’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.

To learn more about the DMC Global Inc. class action, go to www.faruqilaw.com/BOOM or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).

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Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.

Contacts

Faruqi & Faruqi, LLP

Josh Wilson

877-247-4292 or 212-983-9330 (Ext. 1310)

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