Faruqi & Faruqi, LLP Investigates Claims Against Marqeta with a Deadline Reminder for Investors
Ongoing Investigation on Marqeta by Faruqi & Faruqi, LLP
In an important development for investors of Marqeta, Inc. (NASDAQ: MQ), the nationally recognized law firm Faruqi & Faruqi, LLP has initiated an investigation into the company regarding possible legal claims. The firm aims to examine the potential implications of misleading statements attributed to Marqeta's management. This inquiry holds significant relevance as investors who acquired Marqeta securities between May 7 and November 4, 2024, may be eligible to participate in a federal class action lawsuit. The deadline for asserting the role of lead plaintiff is fast approaching on February 7, 2025.
Faruqi & Faruqi, known for their expertise in securities litigation, emphasizes the significance of this investigation for all affected investors. Josh Wilson, a partner at the firm, is urging investors who incurred losses to reach out directly for assistance and guidance regarding their legal options. Interested parties can contact him at 877-247-4292 or 212-983-9330.
Allegations of Misleading Statements
The legal complaint against Marqeta outlines serious allegations claiming that both the company and its executives engaged in deceptive practices by failing to disclose critical information affecting its business forecast. Specifically, there are accusations that Marqeta:
1. Underreported Regulatory Risks: The company allegedly did not adequately communicate the regulatory hurdles looming over its business outlook.
2. Adjusted Financial Guidance: It was reported that Marqeta would have to downgrade its earnings expectations for Q4 2024, a shift that became evident only after the market was informed.
3. Disseminated False Statements: As a result of these actions, the public statements released by Marqeta during this time are claimed to have been misleading.
When the market became aware of these discrepancies, the fallout was significant. On November 4, 2024, Marqeta publicly revealed its third-quarter financial results and simultaneously reduced its fourth-quarter guidance. This announcement, coupled with clarifications about the tougher banking environment and changes in customer programs, led to a drastic drop in stock value. On November 5, the company’s shares plummeted by 42.5%, closing at $3.42, reflecting investor unease and disappointment.
The Role of Lead Plaintiff and Legal Implications
The class action suit allows for one investor selected as the lead plaintiff — the individual possessing the highest financial stake in the matter and who is representative of the interests of the entire class. Interested investors have the option to either move for this position through their chosen counsel or remain part of the class without taking any action. Notably, opting to be a lead plaintiff will not impact an investor’s ability to recover damages from the potential settlement.
Faruqi & Faruqi is actively seeking additional information on Marqeta's actions from any whistleblowers, former employees, or shareholders. Information can significantly bolster the investigation and assist in taking the appropriate legal measures.
If you have information regarding Marqeta or are interested in learning more about the implications of this investigation, the law firm encourages you to visit their dedicated webpage at www.faruqilaw.com/MQ. Legal representatives are available to discuss individual circumstances with potential claimants. Updates can also be followed through the firm's social media accounts on LinkedIn, X, and Facebook.
Conclusion
As time ticks away for investors looking to assert their claims, Marqeta's situation continues to garner attention. Faruqi & Faruqi, LLP’s proactive stance in seeking accountability could serve as a pivotal juncture for numerous investors facing potential losses. Those affected should not delay in exploring their legal rights and options. The outcome of this investigation and resulting lawsuits could shape the future landscape for Marqeta and its shareholders alike.