#USA #New York #Class Action #Levi & Korsinsky #Cardlytics

Investors of Cardlytics, Inc. Set to Join Class Action Lawsuit

Cardlytics, Inc. has come under scrutiny as Levi & Korsinsky, LLP has recently notified its shareholders regarding a pending class action securities lawsuit. Investors are urged to take note of the claims linked to alleged securities fraud that occurred between March 14 and August 7, 2024. Notably, the deadline for potential lead plaintiffs is March 25, 2025. This article delves into the details surrounding the lawsuit and the implications for Cardlytics shareholders.

Overview of the Class Action Lawsuit

The core of the lawsuit aims to recover losses incurred by investors due to purported misleading statements made by the company's management. These claims suggest that Cardlytics’ leadership conveyed an overly optimistic view of the company's operational capabilities and growth prospects. Allegedly, the management's assertions failed to acknowledge crucial issues that might hinder future revenue growth, specifically concerning the company’s ability to align billings with an increase in consumer engagement.

Details of the Allegations

The complaint outlines several issues that investors have raised:
1. Inaccurate Statements: Management purportedly made statements suggesting that increased consumer engagement would naturally translate into increased revenues. However, the reality is that the company struggled to convert this engagement into actual billings.
2. Revenue Growth Risks: There was an underlying risk of slowing or declining revenue growth, which management failed to disclose adequately.
3. Algorithm Issues: Adjustments made to Cardlytics’ Ads Decision Engine, intended to enhance consumer interaction, inadvertently led to 'under-delivery' on budgets and a disconnect in customer billing estimates.
4. Misleading Optimism: The assertions from Cardlytics about business health, prospects, and operations were characterized as materially misleading, lacking a factual basis.

Given these factors, investors who suffered losses during the specified period are encouraged to connect with Levi & Korsinsky for guidance and potential participation in the lawsuit.

What Happens Next?

Shareholders impacted by these developments have until March 25, 2025, to come forward and request court recognition as lead plaintiffs. However, it’s important to note that participating in the lawsuit does not necessitate being a lead plaintiff, and individuals may seek compensation at no out-of-pocket costs.

What Sets Levi & Korsinsky Apart?

Levi & Korsinsky boasts a commendable track record over the past two decades, securing hundreds of millions for aggrieved shareholders. This law firm has been recognized consistently as one of the premier securities litigation firms in the United States, ranking in ISS Securities Class Action Services’ Top 50 Report for seven consecutive years. The firm's commitment to advocating for investors facing potential loss is evident through their extensive expertise in complex securities litigation.

Contact Details for Interested Shareholders

For Cardlytics investors wishing to inquire further or submit their claims, they can reach out to Joseph E. Levi, Esq. at Levi & Korsinsky, LLP, based in New York. He can be contacted at [email protected] or by telephone at (212) 363-7500.

Conclusion

The unfolding situation with Cardlytics Inc. emphasizes the importance of vigilance among investors regarding their rights in the face of potential misrepresentation by company officials. As this class action lawsuit progresses, affected shareholders should remain informed and proactive in pursuing any potential recovery for their losses, ensuring they do not miss the critical deadline on March 25, 2025.