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Yext, Inc. Class Action Lawsuit - YEXT

Company Name
Yext, Inc.
Stock Symbol
YEXT
Class Period
March 4, 2021 to March 8, 2022
Motion Deadline
August 16, 2022
Court
Southern District of New York
50 days left to seek lead plaintiff status

Case Summary

The Yext class action lawsuit seeks to represent purchasers or acquirers of Yext, Inc. (NYSE: YEXT) securities between March 4, 2021 and March 8, 2022, inclusive (the “Class Period”).  The Yext class action lawsuit – captioned Menzione v. Yext, Inc., No. 22-cv-05127 (S.D.N.Y.) – charges Yext and certain of its top executive officers with violations of the Securities Exchange Act of 1934.

If you suffered substantial losses and wish to serve as lead plaintiff of the Yext class action lawsuit, please submit your information here.  You can also contact attorney J.C. Sanchez of Robbins Geller by calling 800/449-4900 or via e-mail at jsanchez@rgrdlaw.com.  Lead plaintiff motions for the Yext class action lawsuit must be filed with the court no later than August 16, 2022.

CASE ALLEGATIONS: Yext operates Yext platform, a cloud-based platform that allows its customers to, among other things, provide answers to consumer questions, control facts about their businesses and the content of their landing pages, and manage their consumer reviews.  As COVID-19 resurged throughout 2021, Yext consistently assured investors that pandemic-related impacts on Yext’s business were limited as Yext adapted to lockdowns and improved efficiencies in its sales and other operations.

The Yext class action lawsuit alleges that, throughout the Class Period, defendants made false and misleading statements and failed to disclose that: (i) Yext’s revenue and earnings were significantly deteriorating because of, among other things, poor sales execution and performance, as well as COVID-19 related disruptions; (ii) accordingly, Yext was unlikely to meet consensus estimates for its full year fiscal 2022 financial results and fiscal 2023 outlook; and (iii) as a result, Yext’s public statements were materially false and misleading at all relevant times.

On March 8, 2022, Yext reported fourth quarter of fiscal 2022 revenue of $100.9 million, falling short of consensus estimates by $140,000; first quarter of fiscal 2023 revenue outlook of $96.3 million to $97.3 million, versus consensus estimates of $103.79 million; first quarter of fiscal 2023 non-Generally Accepted Accounting Principles (“GAAP”) net loss per share outlook of $0.08 to $0.07, versus consensus estimates of $0.05; full year fiscal 2023 revenue outlook of $403.3 million to $407.3 million, versus consensus estimates of $444.71 million; and full year fiscal 2023 non-GAAP net loss per share outlook of $0.19 to $0.17, versus consensus estimates of $0.09.  Yext further disclosed the departure of its CEO and CFO.  On this news, Yext’s stock price fell more than 9%, damaging investors.

THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased Yext securities shares during the Class Period to seek appointment as lead plaintiff.  A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class.  A lead plaintiff acts on behalf of all other class members in directing the Yext class action lawsuit.  The lead plaintiff can select a law firm of its choice to litigate the Yext class action lawsuit.  An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of the Yext class action lawsuit.

ABOUT ROBBINS GELLER RUDMAN & DOWD LLP: Robbins Geller Rudman & Dowd LLP is one of the world’s leading complex class action firms representing plaintiffs in securities fraud cases.  The Firm is ranked #1 on the 2021 ISS Securities Class Action Services Top 50 Report for recovering nearly $2 billion for investors last year alone – more than triple the amount recovered by any other plaintiffs’ firm.  With 200 lawyers in 9 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig.

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