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Symantec Announces Investigation on Concerns of Former Employee

Symantec Announces Investigation on Concerns of Former Employee

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Kehoe Law Firm, P.C. has commenced a securities investigation on behalf of Symantec Corporation (NASDAQ: SYMC) investors to determine whether Symantec or its officers violated federal securities laws or were involved in other unlawful business practices.

Symantec’s Financial Results and Guidance May Be Subject to Change Based on Its Internal Investigation

On May 10, 2018, Symantec issued a press release reporting its “Fiscal Fourth Quarter and Full Year 2018 Results,” which stated, in pertinent part:

The Audit Committee of the Board of Directors has commenced an internal investigation in connection with concerns raised by a former employee. The Audit Committee has retained independent counsel and other advisors to assist it in its investigation. The Company has voluntarily contacted the Securities and Exchange Commission to advise it that an internal investigation is underway, and the Audit Committee intends to provide additional information to the SEC as the investigation proceeds. The investigation is in its early stages and the Company cannot predict the duration or outcome of the investigation. [Symantec’s] financial results and guidance may be subject to change based on the outcome of the Audit Committee investigation. It is unlikely that the investigation will be completed in time for the Company to file its annual report on Form 10-K for the fiscal year ended March 30, 2018 in a timely manner. (Emphasis added)

Symantec Stock Drops Significantly During After-Hours Trading on May 10, 2018

On the news of Symantec’s internal investigation, SYMC’s shares dropped significantly.  According to TheStreet:

Symantec . . . shares plunged in pre-market trading Friday after the cyber security firm said an internal investigation could delay the filing of it[s] annual report and alter its weaker-than-expected sales and earnings forecasts.

Symantec, which makes the Norton Antivirus and LifeLock security services, said concerns raised by a former employee, which it did not provide further detail, prompted the probe and that it had retained independent counsel and notified the U.S. Securities and Exchange Commission. The revelation followed the Mountainview, Calif.-based group’s first quarter earnings report, which included a softer-than-anticipated full year revenue forecast of between $4.76 billion and $4.9 billion and earnings of between $1.50 and $1.65 per share.

. . .

Symantec shares plummeted 24.3% in pre-market trading Friday, indicating an opening bell price of $22.09 each, a move that would lop more than $4.2 billion from the company’s market value and pull the stock to the lowest level since August 2016. (Emphasis added)

Symantec Stockholders & Investors

If you purchased, or otherwise acquired, Symantec securities and have questions or concerns about Kehoe Law Firm’s securities investigation or your potential legal claims, please contact John Kehoe, Esq., (215) 792-6676, Ext. 801, [email protected], complete the form above on the right or e-mail [email protected].

Kehoe Law Firm, P.C.