Company: Domo, Inc.
Class Period: June 28, 2018 — September 5, 2019
Court: U.S.D.C. – District of Utah
Deadline: December 16, 2019
A shareholder class action complaint has been filed against Domo, Inc. (“Domo” or the “Company”) (Nasdaq: DOMO) on behalf of investors who purchased shares of the Company’s stock between June 28, 2018 and September 5, 2019.
Domo operates a cloud-based platform in the United States that purports to “digitally connect” everyone from the chief executive officer to the frontline employee with the people, data, and systems in an organization, giving them access to real-time data and insights, and allowing them to manage business from smartphones.
On or about June 28, 2018, Domo completed its initial public offering (“IPO”) of common stock, selling over 10 million shares of stock to investors at $21.00 per share.
According to the complaint, on September 5, 2019, Domo reported that it expected third quarter 2019 revenue of $41.5 – 42.5 million (versus a consensus of $44.2 million) and a quarterly net loss of $1.04 – $1.00 per share (versus a consensus of $0.91 per share). Additionally, Domo reported that it expected FY 2020 revenues of $168 – 169 million (versus a consensus of $173.7 million) and a loss of $4.10 – 4.00 per share (versus a consensus of a $3.82 loss per share).
The following morning, JMP Securities (“JMP”) decreased its Domo price target by $10.00, citing (i) the Company’s “disappointing” report and guidance, (ii) weakness in Domo’s enterprise and international businesses, and (iii) billings growth that was about half of expectations.
In response to this news, shares of Domo’s common stock fell $9.44 per share, or over 37% in value, to close on September 6, 2019 at $15.77 per share.
Domo investors are encouraged to contact Kaskela Law LLC (D. Seamus Kaskela, Esq.) at (888) 715–1740, or by completing the information form on this page, for additional information about this action and their legal rights and options.