Class Action Lawsuit by Brower Piven Vs. Nimble Storage

The securities litigation law firm of Brower Piven, a professional corporation, announces that a class action lawsuit has been commenced in the United States District Court for the Northern District of California on behalf of purchasers of Nimble Storage, Inc. securities during the period between May 27, 2015 and November 19, 2015, inclusive.  

The complaint accuses the defendants of violations of the Securities Exchange Act of 1934 by virtue of the defendants’ failure to disclose during the class period that Nimble Storage was being negatively impacted by intense competition from well-entrenched, large competitors who were slashing prices in order to maintain market share, that Nimble Storage had made a conscious decision to focus its sales and marketing efforts towards the large enterprises market and to reduce sales efforts in the U.S. commercial market, and that due to this change in sales strategy and the intense price competition, Nimble Storage was losing sales in both sales channels.

According to the complaint, following the company’s November 19, 2015 announcement attributing disappointing financial results to the shift in the company’s investment from commercial to enterprise business which impacted the company’s commercial revenue growth more than anticipated and its enterprise investments were taking longer to become fully productive, the value of Nimble Storage shares declined significantly.