Valeant Pharmaceuticals International, Inc. (NYSE:VRX) Traps in Misleading Lawsuit with Intuit Inc. (NASDAQ:INTU), Stage Stores Inc. (NYSE:SSI)
NOVEMBER 21ST, 2015 DEVON LEFTOVICH BUSINESS NEWS 0 COMMENTS
Rosen Law Firm publicized that it has filed of a class action lawsuit against Valeant Pharmaceuticals International, Inc. (NYSE:VRX) [Detail Analytic Report] on behalf of buyers of securities during February 28, 2014 to October 21, 2015, dates inclusive.
According to the lawsuit, during the Class Period, Defendants issued materially false or misleading statements to shareholders and failed to reveal that the firm had deficient internal controls, the firm had a relationship with a network of specialty pharmacies used to increase Valeant’s sales of its high-priced drugs; the use of specialty pharmacies left Valeant vulnerable to increased regulatory risks, Defendants were under government scrutiny for its financial support programs for patients, pricing decisions and the distribution of its products, the firm faced the risk of scrutiny over its price increases, without using specialty pharmacies, financial performance of the firm would be negatively impacted, without using specialty pharmacies, the firm’s Class Period performance would have been negatively impacted, Valeant’s true relationship with Philidor and the expand of that relationship, Valeant controlled Philidor, Valeant’s subsidiary KGA had a secured lien interest on Philidor’s ownership, Defendants were engaged in a scheme to manipulate stock price of the firm.
As a result, public statements of Valeant were materially false or misleading and lacked a reasonable basis at all relevant times. When the truth revealed, the lawsuit claims that shareholders suffered damages.
Intuit Inc. (NASDAQ:INTU) [Detail Analytic Report] announced its fiscal Q1 loss of $31 million in its fiscal. Intuit revealed that it had a loss of 11 cents a share. Earnings, revised for one-time gains and costs, were 9 cents a share. The results exceeded Wall Street outlooks. The average estimate of experts polled by Zacks Investment Research was for a loss of 3 cents a share. Intuit declared its revenue of $713 million in the quarter, which also beat Street forecasts. According to analysts polled by Zacks expected $669.6 million.
For the current quarter completing in February, Intuit expects its earnings to be 17 to 20 cents a share. The firm reported it expects revenue in the range of $880 to $900 million for the fiscal second quarter. Intuit expects full-year earnings in the range of $3.45 to $3.50 a share, with revenue ranging from $4.53 to $4.6 billion. Shares of Intuit have increased almost 6 percent since the starting of the year.
Brad Smith, President and CEO of Intuit stated that they started the fiscal year the same way they ended the last, with strong momentum across their businesses as their intense focus on their international cloud strategy takes shape. They topped their subscriber and financial targets in the period and have raised their earnings a share guidance for the fiscal year based on these initial strong results and their acceleration of share buybacks in the period.
Stage Stores Inc. (NYSE:SSI) [Detail Analytic Report] declared that Board of Directors of the firm has announced a quarterly cash dividend of 15 cents a share on the firm’s common stock, to be paid on December 16, 2015 to investors of record at the close of trading session on December 1, 2015.
Stage Stores also announced its fiscal Q3 loss of $10.2 million. Stage Stores reported it had a loss of 32 cents a share. The results missed Wall Street outlooks. Stage Stores revealed its revenue of $351.6 million in the quarter, also missing Street forecasts. Shares of Stage Stores have tumbled 56 percent since the starting of the year.
Michael Glazer, President and CEO of Stage Stores stated that their Q3 results were negatively impacted by stores located in geographies which were pressured by oil and gas and a devalued peso. Stores outside of those areas achieved a flat comp for the period. Based on these results and their expectation that these challenges will continue in the near term, they are guiding their comp sales to a range of -2% to -4% for the Q4 and adjusted earnings per diluted share to $0.70 to $0.80 for the fiscal year. They will manage their business with discipline around inventory control, implement additional cost cuts and maintain their focus on improving store productivity and driving online sales.