NEW YORK, July 01, 2023 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, is investigating potential claims against Seagate Technology Holdings Plc (NASDAQ: STX), Chegg, Inc. (NYSE: CHGG), Relmada Therapeutics, Inc. (NASDAQ: RLMD), and DoubleVerify Holdings, Inc. (NYSE: DV). Our investigations concern whether these companies have violated the federal securities laws and/or engaged in other unlawful business practices. Additional information about each case can be found at the link provided.
Seagate Technology Holdings Plc (NASDAQ: STX)
On April 19, 2023, the Bureau of Industry and Security (BIS) issued a release stating BIS imposed a $300 million penalty against Seagate related to shipments to Huawei. The release reported the civil penalty is to “resolve alleged violations of U.S. export controls related to selling hard disk drives (HDDs) to Huawei Technologies Co. Ltd. (Huawei) in violation of the foreign direct product (FDP) rule. This historic foreign direct product enforcement case and settlement represents the largest standalone administrative penalty in BIS history. Today’s resolution also includes a multi-year audit requirement and a five-year suspended Denial Order.”
On this news, Seagate’s stock price fell $2.44, or 3.88%, in intraday trading on April 20, 2023.
For more information on the Seagate investigation go to: https://bespc.com/cases/STX
Chegg, Inc. (NYSE: CHGG)
On February 6, 2023, after the markets closed, Chegg held a conference call to discuss its results for the fourth quarter of 2022. During the call, an analyst asked Chief Executive Officer Dan Rosensweig whether, as a result of ChatGPT, Chegg was "seeing any impact on [its] business in terms of new subscriber growth or returning subscribers." Rosensweig responded, "No. Nothing at all that is noticeable. And obviously, we're going to track it, but we've seen nothing."
Then, on April 17, 2023, Chegg announced the launch of CheggMate, a new AI-enhanced learning service build on the most advanced model of ChatGPT (GPT-4).
Then, on May 1, 2023, Chegg held a conference call to discuss its results for the first quarter of 2023. On the call, Rosensweig stated that "since March, we saw a significant spike in student interest in ChatGPT. We now believe it's having an impact on our new customer growth."
On this news, Chegg's stock price fell $8.52 per share, or 48.41%, to close at $9.08 per share on May 2, 2023.
For more information on the Chegg investigation go to: https://bespc.com/cases/CHGG
Relmada Therapeutics, Inc. (NASDAQ: RLMD)
Before market opened on October 13, 2022, Relmada announced the results of its RELIANCE III study (REL-1017-303), evaluating the drug REL-1017 as a monotherapy for Major Depressive Disorder (MDD). Relmada revealed that the RELIANCE III trial did not achieve its primary endpoint, which was a statistically significant improvement in depression symptoms compared to placebo on Day 28, as measured by the Mongomery-Asberg Depression Rating Scale (MADRS). Specifically, the REL-1017 treatment showed a MADRS reduction of 14.8 points at Day 28 versus 13.9 points for placebo, a higher-than-expected placebo response. Relmada described that “[p]aradoxical results were observed in certain study sites, where placebo dramatically outperformed REL-1017.”
Following this news, Relmada’s stock price fell nearly 80% to close at $6.48 per share on October 13, 2022.
For more information on the Relmada investigation go to: https://bespc.com/cases/RLMD
DoubleVerify Holdings, Inc. (NYSE: DV)
On May 2, 2023, Spruce Point Capital Management published a report alleging that there is evidence DoubleVerify engaged in manipulative and deceptive financial reporting related to its international business.
On this news, DoubleVerify’s share price fell $1.69, or 5.8%, to close at $27.22 per share on May 2, 2023, thereby injuring investors.
For more information on the DoubleVerify investigation go to: https://bespc.com/cases/DV
About Bragar Eagel & Squire, P.C.:
Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York, California, and South Carolina. The firm represents individual and institutional investors in commercial, securities, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.