Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased Telos Corporation (“Telos” or the “Company”) (NASDAQ: TLS) common stock between November 19, 2020 and November 12, 2021, inclusive (the “Class Period”). Telos investors have until April 8, 2022 to file a lead plaintiff motion.
Investors suffering losses on their Telos investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to howardsmith@howardsmithlaw.com.
On November 15, 2021, Telos announced that its TSA PreCheck contract would be delayed to 2022 and its multi-billion dollar contract with Centers for Medicare and Medicaid Services (“CMS”) was pushed back after full year 2022. As a result, the Company reduced its guidance to expect between $240 million and $245 million revenue, down from a prior range of $283 million to $295 million.
On this news, the Company’s stock price fell $6.84, or 28%, to close at $17.54 per share on November 15, 2021.
The complaint alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (1) the TSA and CMS contracts, which constituted a majority of the Company's future revenues, were not on track to commence as represented at the end of 2021 and in 2022; (2) Defendants lacked a reasonable basis and sufficient visibility to provide and affirm the Company's 2021 guidance in the face of the uncertainty surrounding the TSA and CMS contracts; (3) COVID-19- and hacking scandal-related headwinds were throwing off the timing for performance of the TSA and CMS contracts and their associated revenues; (4) as a result, the guidance provided by Defendants was not in fact "conservative"; (5) as a result of the delays, Telos would be forced to dramatically reduce its revenue estimates; and (6) as a result of the foregoing, Defendants’ public statements were materially false and misleading at all relevant times.
If you purchased Telos common stock, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
View source version on businesswire.com: https://www.businesswire.com/news/home/20220214005190/en/
Contacts
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
888-638-4847
howardsmith@howardsmithlaw.com
www.howardsmithlaw.com
