Case Status
Active
Case Caption
In re Sunpower Corporation Securities Litigation
Position
Co-Lead Counsel
Practice Areas
Court
U.S. District Court for the Northern District of California
Judge Assigned
Rita F. Lin
Case Number
3:23-cv-05544-RFL
San Francisco
Defendant(S)
SunPower Corporation
Peter Faricy
Gurthrie Dundas
Elizabeth Eby
Exchange
NASDAQ
Stock Symbol
SPWR
File Date
Class Period
-
Lead Plaintiff Deadline
Phone

The complaint alleges SunPower made false and misleading statements and failed to disclose that: (1) due to a material weakness in internal control over financial reporting, it inaccurately reported cost of revenue and inventory metrics; and (2) as a result, the company was reasonably likely to incur significant charges to restate prior financial reporting.

Investors learned the truth on Oct. 24, 2023, when SunPower admitted that “the value of consignment inventory of microinverter components at certain third-party locations had been overstated […] in the range of approximately $16 million to $20 million, resulting in the associated cost of revenue being understated.”

SunPower also admitted to material weaknesses in its internal control over financial reporting, and revealed that it is negotiating for a waiver and consent to address the effects of the upcoming restatements under the company’s credit agreement with Bank of America, N.A.

In response, the price of SunPower shares fell $0.90, or about 18%, on Oct. 25, 2023.

CASE TIMELINE

Hagens Berman is appointed Co-Lead Counsel

Complaint is Filed

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