HAGENS BERMAN, NATIONAL TRIAL ATTORNEYS, Encourages Porch Group (PRCH) Investors with Losses to ...
SAN FRANCISCO, April 09, 2021 (GLOBE NEWSWIRE) -- Hagens Berman urges Porch Group Inc. (NASDAQ: PRCH) investors with significant losses to submit your losses now. The firm is investigating possible securities law violations and certain investors may have valuable claims.
Porch Group Inc. (NASDAQ: PRCH) Investigation:
The investigation is focused on whether Porch Group has misrepresented its actual leverage and inflated its gross margins.
On Apr. 8, 2021, analyst Spruce Point Capital Management published a scathing report entitled “A Porch On A Flimsy Foundation.”
According to Spruce Point, Porch “is a classic example of a Company that has never found a business model that makes sense and was in technical default with a going concern warning before using the frothy SPAC market as an opportunity to allow insiders to dump shares.”
Spruce Point accuses the company of concealing or obscuring numerous business activities from 2017 – 2021 and faking a partnership service that doesn’t exist. Spruce Point also estimates that Porch understates its true leverage by keeping up to $1.1 billion potential exposure to financial guarantees off its books and artificially inflates its gross margins by engaging in barter transactions.
In response, the price of Porch shares sharply fell on Apr. 9, 2021.
“We’re focused on investors’ losses and whether Porch Group has cooked its books,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you are a Porch Group investor and have significant losses, or have knowledge that may assist the firm’s investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Porch Group 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 PRCH@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