The Law Offices of Frank R. Cruz Reminds Investors of Looming Deadline in the Class Action Lawsuit Against Nutanix, Inc. (NTNX)

The Law Offices of Frank R. Cruz reminds investors of the upcoming June 13, 2023 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who acquired Nutanix, Inc. (“Nutanix” or the “Company”) (NASDAQ: NTNX) securities between September 21, 2021 and March 6, 2023, inclusive (the “Class Period”).

If you are a shareholder who suffered a loss, click here to participate.

On March 6, 2023, after the market closed, Nutanix disclosed that it would be unable to file its Quarterly Report on Form 10-Q for the quarter ended January 31, 2023 on time because the Company’s Audit Committee was conducting an investigation with the assistance of outside counsel. The investigation relates to “certain evaluation software from one of the Company’s third-party providers [that] was instead used for interoperability testing, validation and customer proofs of concept over a multi-year period.” The Company further disclosed that the issue is likely to result in “additional costs . . . incurred to address the additional use of the software.”

On this news, Nutanix’s stock price fell $2.27, or 7.8%, to close at $26.50 per share on March 7, 2023, thereby injuring investors.

Then, on March 16, 2023, Nutanix announced that it had received a letter from Nasdaq stating that, “because the Company has not yet filed its Quarterly Report . . . for the quarter ended January 31, 2023, the Company is not in compliance with Nasdaq Listing Rule 5250(c)(1), which required timely filing of all required periodic financial reports with the [SEC].”

The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) the Company maintained deficient internal controls relating to its use of licensed software and expense management; (2) as a result of these deficiencies, the Company improperly used third-party evaluation software for business purposes over a multi-year period; (3) investigation and remediation of the foregoing— i.e., by paying vendors the full cost to use their software for business purposes—would cause the Company to incur significant expenses; and (4) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.

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If you purchased or otherwise acquired Nutanix securities during the Class Period, you may move the Court no later than June 13, 2023 to request appointment as lead plaintiff in this putative class action lawsuit. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 1999 Avenue of the Stars, Suite 1100, Los Angeles, California 90067 at 310-914-5007, by email to info@frankcruzlaw.com, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.

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