Digimarc Corporation Class Action Lawsuit - DMRC
Case Summary
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The Digimarc class action lawsuit seeks to represent purchasers or acquirers of Digimarc Corporation (NASDAQ: DMRC) securities between May 2, 2024 and February 26, 2025, inclusive (the “Class Period”). Captioned Mayer v. Digimarc Corporation, No. 25-cv-01963 (S.D.N.Y.), the Digimarc class action lawsuit charges Digimarc and certain of Digimarc’s top executives with violations of the Securities Exchange Act of 1934.
If you suffered substantial losses and wish to serve as lead plaintiff of the Digimarc class action lawsuit, please provide your information in the form on this page. You can also contact attorney J.C. Sanchez or Jennifer N. Caringal of Robbins Geller by calling 800/449-4900 or via e-mail at info@rgrdlaw.com. Lead plaintiff motions for the Digimarc class action lawsuit must be filed with the court no later than May 9, 2025.
CASE ALLEGATIONS: Digimarc provides automatic identification solutions to commercial and government customers.
The Digimarc class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) a large commercial partner would not renew a large contract on the same terms; (iii) as a result, Digimarc would renegotiate the large commercial contract; and (iii) consequently, Digimarc’s subscription revenue and annual recurring revenue would be adversely affected.
The Digimarc class action lawsuit further alleges that on February 26, 2025, Digimarc released its fourth quarter and full year 2024 financial results, revealing Digimarc’s quarterly subscription revenue decreased 10% to $5.0 million (compared to $5.6 million in the previous year) and annual recurring revenue had decreased to $20.0 million (compared to $22.3 million in the previous year). According to the complaint, these declines “primarily reflect[ed] a $5.8 million decrease in ARR [annual recurring revenue] due to the expiration of a commercial contract in June 2024.” On this news, the price of Digimarc stock fell more than 43%, the Digimarc class action lawsuit alleges.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired Digimarc securities during the Class Period to seek appointment as lead plaintiff in the Digimarc class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the Digimarc class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the Digimarc class action lawsuit. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of the Digimarc class action lawsuit.
ABOUT ROBBINS GELLER: Robbins Geller Rudman & Dowd LLP is one of the world’s leading law firms representing investors in securities fraud and shareholder litigation. Our Firm has been ranked #1 in the ISS Securities Class Action Services rankings for four out of the last five years for securing the most monetary relief for investors. In 2024, we recovered over $2.5 billion for investors in securities-related class action cases – more than the next five law firms combined, according to ISS. With 200 lawyers in 10 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world, and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest ever – $7.2 billion – in In re Enron Corp. Sec. Litig.