Discover Financial Services Investors Reminder: Kessler Topaz Meltzer & Check, LLP Reminds Shareholders of Deadline in Securities Class Action Lawsuit
RADNOR, Pa., Sept. 15, 2023 (GLOBE NEWSWIRE) – The law firm of Kessler Topaz Meltzer & Check, LLP informs investors that a securities class action lawsuit has been filed in the United States District Court for the Northern District of Illinois against Discover Financial Services (“DFS”) (NYSE: DFS).
The action charges DFS with violations of federal securities laws. Shareholders who purchased DFS securities between February 28, 2020, and July 6, 2023, inclusive (the “Class Period”), are encouraged to contact the firm before October 21, 2023.
Background of the Lawsuit
According to the lawsuit, DFS allegedly made false and misleading statements regarding the company’s financial performance and business prospects. The lawsuit alleges that DFS failed to disclose that the company’s reserve build for the second quarter of 2023 was primarily due to an increase in delinquencies in its credit card portfolio, and not, as the company claimed, due to increased loan loss reserves.
The lawsuit further alleges that DFS misrepresented the reasons for the increase in delinquencies and failed to disclose that the increase was primarily due to the company’s improper underwriting practices.
Impact on Investors
Investors who purchased DFS securities during the Class Period may be eligible to participate in the lawsuit and seek compensation for their losses. Shareholders are encouraged to contact the firm to learn more about their rights and options.
How This Lawsuit Could Affect You
As an investor in Discover Financial Services, this lawsuit could have a significant impact on your financial standing. If the allegations against DFS are proven true, it could result in a decline in the company’s stock price and lead to financial losses for shareholders.
Global Impact
Beyond individual investors, this lawsuit could also have a broader impact on the financial world. If DFS is found to have violated securities laws, it could lead to increased scrutiny and regulation of the financial industry as a whole.
Conclusion
In conclusion, the securities class action lawsuit against Discover Financial Services has the potential to have far-reaching implications for investors and the financial industry. Shareholders are encouraged to stay informed about the progress of the lawsuit and consider their legal options.
