The Law Offices of Frank R. Cruz announces that a class action lawsuit has been filed on behalf of investors who purchased Quantum Corporation ("Quantum" or the "Company") (NASDAQ: QMCO) securities between November 15, 2024, and August 18, 2025, inclusive (the "Class Period"). Quantum investors have until November 3, 2025 to file a lead plaintiff motion.
IF YOU SUFFERED A LOSS ON YOUR QUANTUM CORPORATION (QMCO) INVESTMENTS, CLICK HERE TO SUBMIT A CLAIM TO POTENTIALLY RECOVER YOUR LOSSES IN THE ONGOING SECURITIES FRAUD LAWSUIT.
You can also contact the Law Offices of Frank R. Cruz to discuss your legal rights by email at info@frankcruzlaw.com, by telephone at (310) 914-5007, or visit our website at www.frankcruzlaw.com.
What Happened?
On June 30, 2025, Quantum disclosed that it would be unable to timely file its annual financial report for the fiscal year 2025 as it is "reviewing its accounting related to certain revenue contracts as well as the application of standalone selling price under applicable accounting standards."
On this news, Quantum's stock price fell $1.00, or 10.03%, to close at $8.97 per share on June 30, 2025, thereby injuring investors.
Then, on August 8, 2025, Quantum announced that its third quarter 2024 financial statements "should no longer be relied upon" due to "deficiencies in the Company's internal control over financial reporting and the Company's disclosure controls and procedures that constituted material weaknesses." The Company further disclosed that the affected financial statements would be restated to show a new decrease of approximately $3.9 million in revenue.
On this news, Quantum's stock price fell $0.14, or 1.79%, to close at $7.66 per share on August 11, 2025.
Then, on August 18, 2025, Quantum disclosed that its CEO would be resigning from the role after only five months in the position.
On this news, Quantum's stock price fell $0.61, or 8.2%, to close at $6.83 per share on August 19, 2025, thereby injuring investors further.
What Is The Lawsuit About?
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Quantum improperly recognized revenue during the fiscal year ended March 31, 2025; (2) as a result, Quantum would need to restate its previously filed financial statements for the fiscal third quarter ended December 31, 2024; and (3) as a result, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
Contact Us To Participate or Learn More:
If you purchased Quantum securities, wish to learn more about this action, or have any questions concerning this announcement or your rights or interests with respect to these matters, please click HERE or contact us at:
Law Offices of Frank R. Cruz
2121 Avenue of the Stars, Suite 800
Telephone: 310-914-5007
Email: info@frankcruzlaw.com
Visit our website at: www.frankcruzlaw.com
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View source version on businesswire.com: https://www.businesswire.com/news/home/20250909745179/en/
Law Offices of Frank R. Cruz
2121 Avenue of the Stars, Suite 800
Telephone: 310-914-5007
Email: info@frankcruzlaw.com
Visit our website at: www.frankcruzlaw.com
