ChargePoint Faces Class Action Lawsuit for Securities Law Violations

Investors who purchased shares between June 1 and November 16, 2023, are being urged to join the lawsuit following substantial losses.

ChargePoint Holdings, Inc. is facing a class action lawsuit for securities law violations, with investors who purchased shares between June 1, 2023, and November 16, 2023, being encouraged to join.
The lawsuit alleges that ChargePoint misrepresented product demand and failed to disclose rising inventory costs, leading to substantial investor losses.
The company reported a $28 million inventory impairment charge in fiscal Q2 2024, followed by an additional $42 million non-cash inventory impairment charge in fiscal Q3 2024.
Following the announcement of these charges, ChargePoint's stock dropped 35% on November 17, 2023, on unusually heavy trading volume.
The company also announced the replacement of both its Chief Executive Officer and Chief Financial Officer.