A securities class action has been filed against NAPCO Security Technologies, Inc. (NSSC) on behalf of all investors who purchased or otherwise acquired Napco securities between February 5, 2024 through February 3, 2025. This case has been filed in the USDC – EDNY.
On February 3, 2025, Investing.com published an article entitled “NAPCO Security stock tumbles after Q2 sales decline.” The article stated that “[s]hares of NAPCO Security Technologies,, Inc. [. . .] plummeted 27% following the announcement of its fiscal 2025 second quarter results, which revealed a decrease in net sales and diluted earnings per share (EPS) compared to the same period last year.” The article further stated that “Richard Soloway, Chairman and CEO, attributed the equipment revenue shortfall to lagging sales in intrusion and access alarm products and door locking devices. The company cited specific issues with two of its larger distributors; one reduced purchases to cut inventory levels, and another underwent a management restructuring that delayed transaction approvals. Soloway expressed disappointment in the overall equipment sales but remains optimistic about future improvements.”
On this news, NAPCO’s shares fell 26.6% on February 3, 2025.