SAN FRANCISCO, Aug. 04, 2020 (GLOBE NEWSWIRE) -- Hagens Berman urges investors in Tactile Systems Technology, Inc. (NASDAQ: TCMD) to submit their losses now. The firm is investigating possible securities fraud and certain investors may have valuable claims.
Tactile Systems Technology (TCMD) Investigation:
The investigation focuses on whether Tactile misrepresented the size of its market and the true source of its revenue growth.
On June 8, 2020, OSS Research published a scathing report accusing Tactile Systems of (1) overstating its total addressable market (TAM) by nearly $4.7 billion, (2) using a “daisy-chaining” kick-back scheme “that has resulted in rampant overprescribing and rapid market share gains at the expense of patients, insurers and the public,” and (3) concealing Medicare audits resulting in denials, for failure to establish medical necessity, of a whopping 71% of Tactile’s submitted claims.
Most recently, after the market closed on Aug. 3, 2020 Tactile announced disappointing 2Q 2020 financial results. Specifically, the company reported a significant year-over-year decline in revenue and a net loss per share.
In response to these events, the price of Tactile shares has sharply fallen.
“We’re focused on investors’ losses and determining whether Tactile deceived investors by inflating its TAM and engaging in illegal marketing schemes to induce sales growth,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you purchased shares of Tactile and suffered significant losses, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Tactile should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email TCMD@hbsslaw.com.
About Hagens Berman
Hagens Berman is a national law firm with nine offices in eight cities around the country and eighty attorneys. The firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the firm and its successes is located at hbsslaw.com. For the latest news visit our newsroom or follow us on Twitter at @classactionlaw.
Reed Kathrein, 844-916-0895