SAN FRANCISCO, CA – (April 26, 2021) – The law firm of Lieff Cabraser Heimann & Bernstein, LLP announces that class action litigation has been filed on behalf of investors who purchased or otherwise acquired the securities of Amdocs Limited (“Amdocs” or the “Company”) (NASDAQ: DOX) between December 13, 2016 and March 30, 2021, inclusive (the “Class Period”).
If you purchased or otherwise acquired Amdocs securities during the Class Period, you may move the Court for appointment as lead plaintiff by no later than June 8, 2021. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. Your share of any recovery in the actions will not be affected by your decision of whether to seek appointment as lead plaintiff. You may retain Lieff Cabraser, or other attorneys, as your counsel in the action.
Amdocs investors who wish to learn more about the litigation and how to seek appointment as lead plaintiff should click here or contact Sharon M. Lee of Lieff Cabraser toll-free at 1-800-541-7358.
Background on the Amdocs Securities Class Litigation
Amdocs, headquartered in Chesterfield, Missouri, provides software and services to communications, cable and satellite, entertainment, and media industry service providers worldwide. The complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (1) Amdocs overstated its profits, cash, and liquidity but understated its debts; (2) Amdocs concealed its large borrowing by “window-dressing” its balance sheets, which included paying down debts before the end of each quarter to show a debt-free balance sheet and then re-borrowing those debts; (3) although Amdocs reported that its results showed the stability of its North American business, that business was declining annually, due in part to the loss of AT&T as a customer; (4) many reputable auditors resigned and were subsequently replaced by “scandal-plagued or tiny shops”; and (5) as a result, the Company’s public statements were materially false and misleading at all relevant times.
On March 31, 2021, before the open of the market, Jehoshaphat Research released a report detailing several instances of misconduct by Amdocs. Specifically, the report revealed the extent of the Company’s overstated financials, according to a former American DOX executive who stated that, “[t]he US business was declining at a rate of [around] 7% annually…but then we would see the company [publish results that] say North America is stable…We would send [our quarterly numbers] to Israel…and somehow everything all comes out as favorable…every quarter [from 2016-on], that came as a big surprise.” Amdocs also “window-dressed” its balance sheets to conceal the large amount of money it was borrowing each quarter. In reality, Amdocs was losing the critical business of its customer AT&T and there was a concerning pattern of the resignation of multiple auditors, only later to be replaced by “scandal-plagued or tiny shops.” On this news, Amdocs’s share price fell $9.19 per share, or 11.58%, from its closing price of $79.34 on March 30, 2021, to close at $70.15 per share on March 31, 2021.
About Lieff Cabraser
Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.
The National Law Journal has recognized Lieff Cabraser as one of the nation’s top plaintiffs’ law firms for fourteen years. In compiling the list, the National Law Journal examines recent verdicts and settlements and looked for firms “representing the best qualities of the plaintiffs’ bar and that demonstrated unusual dedication and creativity.” Law360 has selected Lieff Cabraser as one of the Top 50 law firms nationwide for litigation, highlighting our firm’s “laser focus” and noting that our firm routinely finds itself “facing off against some of the largest and strongest defense law firms in the world.” Benchmark Litigation has named Lieff Cabraser one of the “Top 10 Plaintiffs’ Firms in America.”
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Source/Contact for Media Inquiries Only
Sharon M. Lee
Lieff Cabraser Heimann & Bernstein, LLP