#USA #New York #Securities Fraud #Lawsuit #Cardlytics

Levi & Korsinsky Warns Cardlytics Shareholders About Serious Legal Action

Levi & Korsinsky, LLP is reaching out to all investors in Cardlytics, Inc. (NASDAQ: CDLX) to announce the initiation of a class action lawsuit over significant allegations of securities fraud. The legal action targets those who experienced financial losses during the time period from March 14, 2024, to August 7, 2024. This lawsuit comes as a crucial alert for affected shareholders who have stakes in Cardlytics.

Background of the Case

The class action contends that Cardlytics made misleading statements regarding its business practices, particularly in relation to consumer engagement and revenue generation. These allegations revolve around several key assertions that the company allegedly suppressed:
1. Increased Consumer Engagement: Cardlytics purportedly concealed that enhanced consumer interaction led to a rise in incentives offered to consumers, suggesting a robust growth outlook.
2. Misleading Revenue Projections: The company is accused of failing to adequately disclose the limitations in its billing capabilities, which did not correspond with the uptick in consumer engagement.
3. Risk of Revenue Decline: The lawsuit highlights a significant risk that Cardlytics' revenue growth might slow down or decline, contrary to the company's previously positive forecasts.
4. Performance Issues: Modifications made to the Ads Decision Engine meant to boost consumer engagement inadvertently contributed to the budgets and customer billing estimates being underdelivered.
5. Deceptive Business Outlook: Overall, stakeholders claim that the company’s optimistic statements lacked a reasonable basis and were fundamentally misleading.

Next Steps for Affected Investors

Investors who believe they incurred losses during the specified period are advised to act quickly; the deadline to request being appointed as the lead plaintiff is March 25, 2025. However, it is essential to note that participation in any recovery does not necessitate an individual role as lead plaintiff. This provides an opportunity for investors to reclaim some of their losses without the obligation of being directly involved in the litigation process.

Participation Without Financial Burden

A significant aspect of this alert is that if you qualify as a class member, you can pursue potential compensation without incurring any out-of-pocket fees or costs. This means that financial barriers should not deter affected investors from seeking justice in the face of alleged securities fraud.

Why Choose Levi & Korsinsky?

The team at Levi & Korsinsky has represented securities litigation cases for over 20 years, successfully recovering hundreds of millions of dollars for aggrieved shareholders. Their experienced professionals, equipped with a dedicated team of over 70 employees, have a proven track record in addressing complex securities litigation. For seven consecutive years, the firm has been ranked among the top securities litigation companies by ISS Securities Class Action Services, highlighting their consistent dedication to client success.

Contact Information

Affected investors are encouraged to get in touch with Levi & Korsinsky for details on the class action and to discuss potential claim options. They can reach out to Joseph E. Levi, Esq. or Ed Korsinsky, Esq. at the firm located at 33 Whitehall Street, 17th Floor, New York, NY 10004 or via telephone at (212) 363-7500. For more information, visit Levi & Korsinsky's official website.

In conclusion, Cardlytics investors experiencing challenges during the class action period should take immediate action to protect their investment rights and explore avenues for potential recovery through this legal proceeding.