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NVIDIA Slapped With Class Action Lawsuit Tied To Cryptocurrency Implosion (hothardware.com)

Posted by EditorDavid on from the magic-internet-money-lawsuits dept.

Long-time Slashdot reader foxalopex writes: It looks like Nvidia is going to be hit with a class action for investors who lost big when their stock price crashed more than 50% due to an overstock of GPU cards that were produced for the crypto-currency craze back in 2018. The suit claims investors were told Nvidia had control of the situation until it crashed worse than even Nvidia had anticipated.
"The Company's public statements were false and materially misleading," argues the complaint from a Los Angeles law firm, seeking investors who purchased shares in NVIDIA between August 10, 2017 and November 15, 2018.

It was on November 15 that NVIDIA issued a statement that "excess channel inventory post the crypto-currency boom...will be corrected." Citing new products for machine learning, film rendering, and cloud computing, they added that "Our market position and growth opportunities are stronger than ever."

4 of 171 comments (clear)

  1. This should be illegal by reanjr · · Score: 4, Insightful

    Either vote in a new board or sell your stock. Suing your partners to make up for your own ignorant investments makes you the most worthless kind of human being.

    1. Re:This should be illegal by BeerCat · · Score: 4, Insightful

      Time was when the small print was "the value of your investment can go down as well as up"

      Looks as though these folk never read that part, and now want to blame someone else

      --
      "She's furniture with a pulse"
  2. So... by argStyopa · · Score: 4, Insightful

    ...If crypto currency has crashed and there's a glut of these top end gpus, such that their stock crashed and a class action suit is rolling....where can I get that crazy cheap GPU? I can certainly use one, and there should be rivers of them for sale cheap, no?

    --
    -Styopa
  3. Investors think profits are guaranteed by electroblood · · Score: 5, Insightful

    I work on Wall Street and all of the investors think they are entitled to profits, and that they are guaranteed growth every quarter. The public companies have played into that doing whatever it takes to get their stock to look attractive, and NVIDIA plays this game as ruthlessly as anyone. This is a situation of their own making. The market as a whole is morally bankrupt and needs to be brought under control.