Kaskela Law LLC announces that it is investigating Stem, Inc. (NYSE: STEM) on behalf of the company’s long-term investors.
Stem is a provider of energy storage systems. The current company was formed in April 2021 via a business combination with SPAC entity Star Peak Energy Transition Corp. (NYSE: STPK), with Stem as the surviving, publicly traded entity.
Recently a securities fraud complaint was filed against Stem on behalf of certain investors who purchased shares of the company’s stock between December 4, 2020 and April 3, 2023 (inclusive). The complaint alleges that, during that time period, Stem and certain of the company’s executive officers made a series of false and misleading statements to investors about Stem’s business prospects, revenue streams, and financial results.
Immediately following the closing of the business combination in April 2021, shares of Stem’s stock traded as high as $36.38 per share. As further detailed in the complaint, however, Stem soon began reporting financial results that were dramatically worse than the company’s previously issued guidance. Following these disclosures, shares of Stem’s stock declined $28.08 per share, or over 75% in value, to close at $8.30 per share on February 16, 2023.
The investigation seeks to determine whether the members of Stem’s board of directors violated the securities laws and/or breached their fiduciary duties in connection with the above alleged misconduct.
Current Stem stockholders who purchased or acquired their shares prior to December 4, 2020 are encouraged to contact Kaskela Law LLC (D. Seamus Kaskela, Esq. or Adrienne Bell, Esq.) at (484) 229 – 0750, or by completing the form on this page, for additional information about this investigation and their legal rights and options.