Manhattan Associates (MANH) Revenue Forecast Misrepresentation Case

The case has been dismissed, typically without any further action.

N.D. Georgia

Court

1:25-cv-02089

Case number

10/22/2024

Class period Start

01/28/2025

Class period End

04/28/2025

Lead Plaintiff motion deadline

$MANH investors filed a lawsuit against Manhattan Associates, alleging the company misled shareholders by overstating demand for its cloud-based software and professional services.
On January 28, 2025, Manhattan Associates reported lower-than-expected Q4 results and cut its 2025 revenue guidance. Following this news, $MANH dropped 24.49%.
$MANH investors can join this case to be notified about potential recovery.
Case Details:

Between October 22, 2024, and January 28, 2025, Manhattan Associates repeatedly assured investors that demand for its cloud-based software and professional services remained strong despite economic fluctuations. The company projected steady revenue growth, emphasizing its ability to forecast financial performance accurately.

However, Manhattan failed to disclose that it was experiencing delays in professional services projects and a decline in customization work, directly impacting revenue growth. The company also downplayed the effect of shifting work to future periods, creating a misleading impression of stability.

On January 28, 2025, Manhattan Associates lowered its 2025 revenue guidance, citing customer delays and weaker-than-expected services demand. The company admitted that about 10% of its clients had reduced planned service work, a factor not previously disclosed.

Following this announcement, $MANH stock dropped 24.49%

Based on these events, $MANH investors filed a lawsuit against Manhattan Associates, claiming the company:
It misled investors about its revenue growth potential and forecasting accuracy.
It downplayed the impact of project delays and weaker services demand on financial performance.
Investors believe Manhattan Associates misled them by overstating demand for its cloud-based software and professional services while downplaying project delays and weaker revenue growth.

Case Type

US Securities Class Action

Case Status

Dismissed

Alleged Offence

Misleading Statements,

Financial Misrepresentation,

Failure to Disclose,

Omissions

Suspected Party

Directors,

Management

Security Type

Stocks

Trade Direction

Long

Shock Event Date

01/28/2025

Filing date

02/25/2025

Lead Plaintiff Deadline

04/28/2025

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