|Company:||Constant Contact, Inc|
|Ticker Symbol:||NASDAQGS: CTCT|
|Class Period:||Oct-23-14 to Jul-23-15|
|Lead Plaintiff Deadline:||Oct-24-15|
|Court:||District of Massachusetts|
According to the complaint, Constant Contact failed to disclose that its gross customer additions were lower than expected, that it suffered negative trends in consumer conversion rates, and that it was directing new clients toward the lowest-priced packages. As a result, the complaint alleges that the company's statements about its business operations and prospects lacked a reasonable basis.
On July 23, 2015, after the market closed, Constant Contact announced its earnings results for the second quarter of 2015 with a weak third quarter outlook. The company experienced low trial-to-conversion rates in April and May of 2014, along with a significant swing in product mix, with about 80% of new clients choosing the least expensive email package over higher-priced offerings. On this news, Constant Contact stock fell $3.35 per share, or over 11%, to close at $26.18 per share on July 24, 2015, on unusually heavy volume.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.