Robbins LLP is Investigating Allegations that Flux Power Holdings, Inc. (FLUX) Misled Investors Regarding its Internal Control Weaknesses

Robbins LLP announces that a shareholder filed a class action on behalf of all persons and entities that publicly traded Flux Power Holdings, Inc. (NASDAQ: FLUX) securities between November 11, 2022 and September 30, 2024. Flux Power “designs, manufactures, and sells advanced lithium-ion energy storage solutions for electrification of a range of industrial and commercial sectors including material handling, airport ground support equipment (GSE), and stationary energy storage.”

The Allegations

According to the complaint, during the class period, defendants failed to disclose that: (1) Flux Power’s financial statements from November 10, 2022 to the present included, among other things, overstated inventory, gross profit current assets, and total assets; (2) Flux understated cost of sales, net loss; (3) as a result, Flux Power would need to restate its previously filed financial statements from November 10, 2022 to the present; and (4) Flux Power understated internal control weaknesses or stated that it had adequate internal controls when in fact it did not.

On September 5, 2024, Flux Power disclosed that it would need to restate certain of its previous financial statements. On this news, the price of Flux Power common stock fell 5.36%, to close at $3.00 on September 6, 2024. By September 9, 2024, the stock closed at $2.88. Then, on September 30, 2024, Flux Power filed a notification of late filing with the SEC. On this news, the price of Flux Power common stock fell 5.9%, to close at $2.86 on October 1, 2024.

What Now: You may be eligible to participate in the class action against Flux Power Holdings, Inc. Shareholders who want to serve as lead plaintiff for the class must submit their application to the court by December 31, 2024. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation.  You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member.

All representation is on a contingency fee basis. Shareholders pay no fees or expenses.