New York, New York--(Newsfile Corp. - August 21, 2020) - Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Genius Brands International, Inc. ("Genius" or the "Company") (NASDAQ: GNUS) of the October 19, 2020 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you invested in Genius stock or options between March 17, 2020 and July 5, 2020 and would like to discuss your legal rights, click here: www.faruqilaw.com/GNUS. There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to rgonnello@faruqilaw.com.
CONTACT:
FARUQI & FARUQI, LLP
685 Third Avenue, 26th Floor
New York, NY 10017
Attn: Richard Gonnello, Esq.
rgonnello@faruqilaw.com
Telephone: (877) 247-4292 or (212) 983-9330
The lawsuit has been filed in the U.S. District Court for the Central District of California on behalf of all those who purchased Genius securities between March 17, 2020 and July 5, 2020 (the "Class Period"). The case, Salvador Verdin v. Genius Brands International, Inc. et al, No. 20-cv-07457 was filed on August 18, 2020, and has been assigned to Judge Dean D. Pregerson.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by making false and/or misleading statements regarding: (1) Nickelodeon's purported broadcast expansion of Genius's Rainbow Rangers cartoon; (2) subscription fees for the Kartoon Channel!; and (3) the Company's growth potential and overall prospects as a company. While the share price of Genius stock was artificially inflated due to these misstatements, Genius registered for sale tens of millions of shares, allowing certain longtime investors to cash out at the expense of Plaintiff and the Class.
Specifically, on June 5, 2020, following the massive hype and pump of Genius stock, Hindenburg Research published a report titled "A Bagholder's Guide to Why We Think
Genius Brands Will Be a $1.50 Stock Within a Month" (the "Hindenburg Research Report" or "Report"). This report questioned the valuation of Genius and highlighted inaccurate public statements made by Genius. 43. With respect to Genius's Rainbow Rangers intellectual property, the Hindenburg Research Report showed that Rainbow Rangers was actually airing nine times per week, rather than the 26-airings figure noted in Genius' press release. Moreover, the episodes were not airing in favorable time slots and were, instead, being broadcast daily at 3:49 a.m. and then twice additionally on Sunday mornings at 6:00 a.m. and 6:30 a.m.