Class Action Lawsuit Filed Against Monolithic Power Systems, Inc.: What Investors Need to Know
NEW YORK, Feb. 25, 2025 – Pomerantz LLP, a leading national securities law firm, announces that a class action lawsuit has been filed against Monolithic Power Systems, Inc. (“Monolithic” or the “Company”) (NASDAQ: MPWR) in the United States District Court for the Northern District of California. The lawsuit seeks to represent purchasers of Monolithic securities between October 26, 2022, and February 21, 2025, inclusive (the “Class Period”).
Allegations Against Monolithic Power Systems
The complaint alleges that Monolithic and certain of its executives made materially false and misleading statements regarding the Company’s business, operational, and financial metrics. Specifically, the lawsuit alleges that Monolithic failed to disclose that:
- The Company was experiencing decreased demand for its power management integrated circuits (“PMICs”) due to the global economic downturn;
- Monolithic’s gross margins were declining due to increased competition and lower selling prices;
- The Company was experiencing higher operating expenses due to increased research and development costs and increased sales and marketing expenses;
As a result of these alleged false statements, Monolithic’s stock traded at artificially inflated prices during the Class Period, causing investors harm.
Impact on Individual Investors
If you purchased Monolithic securities during the Class Period, you may be eligible to recover your losses, including damages. To be eligible for recovery, you must have purchased Monolithic securities during the Class Period and have suffered financial losses as a result. You may, however, recover damages if you sold your shares before the Class Period but still own shares today.
To learn more about this class action and your potential recovery, contact Danielle Peyton at [email protected] or 646-581-9980 (or toll-free at 888.4.POMLAW, Ext. 7969).
Impact on the World
The filing of this class action lawsuit against Monolithic Power Systems is significant in several ways. First, it highlights the importance of accurate and transparent disclosures by publicly traded companies. Monolithic’s alleged failure to disclose material information about its business and financial condition could have a ripple effect on the broader market, as investors rely on accurate information to make informed investment decisions.
Second, the lawsuit underscores the growing trend of securities class action lawsuits against technology companies. With the increasing importance of technology in our daily lives, investors are paying closer attention to the financial health and disclosures of tech companies, and the securities class action landscape is likely to remain active in this sector.
Conclusion
The filing of a class action lawsuit against Monolithic Power Systems is a reminder that investors must remain vigilant in monitoring the disclosures of publicly traded companies, particularly in the technology sector. If you purchased Monolithic securities during the Class Period, you may be eligible to recover your losses. Contact Pomerantz LLP to learn more about your potential recovery and to protect your investment.
At Pomerantz LLP, we are committed to fighting for investors’ rights and holding companies accountable for their disclosure failures. Our experienced securities attorneys have a proven track record of achieving significant recoveries for our clients, and we are dedicated to ensuring that the securities markets remain fair and transparent.
For more information about Pomerantz LLP and its securities litigation practice, please visit www.pomlaw.com or contact us at [email protected] or 646-581-9980.
