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MBUU INVESTOR ALERT: Edelson Lechtzin LLP Urges Malibu Boats, Inc. (NASDAQ: MBUU) Shareholders With Substantial Losses To Seek Legal Counsel About The Pending Securities Fraud Class Action

NEWTOWN, PA, May 8, 2024 — Edelson Lechtzin LLP, a leading class action law firm, is investigating securities fraud claims on behalf of all investors of Malibu Boats, Inc. (NASDAQ: MBUU) between November 4, 2022, and April 11, 2024, inclusive (the “Class Period”).

Investors who purchased Malibu Boats stock may move the U.S. District Court for the Southern District of New York to appoint them as lead plaintiff, no later than June 28, 2024. Please contact Edelson Lechtzin LLP at 844-696-7492 to discuss your investment losses, or by e-mail at [email protected]. You can view the complaint HERE.

Background on Malibu Boats, Inc.

Malibu Boats is a manufacturer of recreational powerboats, offering a range of models including performance sport, sterndrive, and outboard boats. They distribute their boats through independent dealerships, with Tommy’s Boats being a significant contributor to their sales. This distribution strategy assists Malibu Boats to access a broader customer base and maintain competitiveness in the market, while also maintaining strong partnerships with their dealers.

The Securities Fraud Claims

The Complaint alleges claims that throughout the Class Period, Defendants made materially false and misleading statements about Malibu Boats business, operations, and prospects, including the following: (i) Malibu Boats engaged in an elaborate scheme to channel nearly $100 million worth of slow-moving inventory to fifteen Tommy’s dealerships.; (ii) As a result, the company artificially inflated Malibu’s sales performance, market share, and stock value; (iii) the Company was withholding certain incentives and rebates from its dealers; (iv) As a result of the foregoing, the company faced a significant risk of litigation from one of its top dealers, Tommy; (v) and the Company’s CEO departed due to his role in this scheme.

On February 20, 2024, Malibu Boats announced that their CEO Jack Springer had “mutually agreed” to step down from his position before the market opened. On this news, the price of Malibu Boats stock fell $4.33, or 9.1%, to close at $43.15 per share, on unusually heavy trading volume.

On April 11, 2024, Malibu Boats revealed that a lawsuit had been filed against them by Tommy’s, alleging fraud. The lawsuit claims that since late 2022, Malibu Boats delivered nearly $100 million worth of inventory to Tommy’s dealerships, including their highest-priced, slowest-moving “Malibu” branded boats. Malibu Boats recognized sales upon delivery to dealers, regardless of actual end-user sales, allowing them to inflate reported wholesale demand and sales. The Tommy’s complaint also alleges that Malibu admitted to intentionally flooding Tommy’s with inventory and withheld incentives from Tommy’s for nearly two years before severing ties with the dealership.

On this news, the price of Malibu Boats’ stock fell $3.34, or 7.99%, to close at $38.48 per share, on unusually heavy trading volume. The Company’s common stock price continued to fall the next trading session, dropping $2.34, or 6%, to close at $36.14 per share on April 15, 2024, on unusually heavy trading volume.

For more information, please contact:

Marc H. Edelson, Esq.

Eric Lechtzin, Esq.

EDELSON LECHTZIN LLP

411 S. State Street, Suite N-300

Newtown, PA 18940

Phone: 844-696-7492 or 215-867-2399 ext. 1

Email: [email protected]

Email: [email protected]

Web:  www.edelson-law.com

Edelson Lechtzin LLP is a leading class action law firm with offices in Pennsylvania and California. In addition to cases involving securities and investment fraud, our lawyers focus on class and collective litigation in cases alleging violations of the federal antitrust laws, employee benefit plans under ERISA, wage theft and unpaid overtime, consumer fraud, and dangerous and defective drugs and medical devices.

This press release may be considered Attorney Advertising in some jurisdictions. No class has been certified in this case, so you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. Your ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.

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If you believe you were the victim of securities fraud, click “Join Investigation” below to provide us the information we need to determine your eligibility. If you qualify, someone from our firm will contact you for a free consultation regarding a potential lawsuit to recover your losses.

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