TELUS International (Cda) Inc. Class Action Lawsuit - TIXT
Case Summary
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The TELUS International class action lawsuit seeks to represent purchasers or acquirers of TELUS International (Cda) Inc. (NYSE: TIXT) securities between February 16, 2023 and August 1, 2024, inclusive (the “Class Period”). Captioned Sarria v. TELUS International (Cda) Inc., No. 25-cv-00889 (S.D.N.Y.), the TELUS International class action lawsuit charges TELUS International and certain of TELUS International’s top current and former executives with violations of the Securities Exchange Act of 1934.
If you suffered substantial losses and wish to serve as lead plaintiff of the TELUS International 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 TELUS International class action lawsuit must be filed with the court no later than March 31, 2025.
CASE ALLEGATIONS: TELUS International designs, builds, and delivers digital solutions for customer experience internationally.
The TELUS International class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) TELUS International’s AI Data Solutions offerings required the cannibalization of its higher-margin offerings; (ii) TELUS International’s declining profitability was tied to the TELUS International drive to develop AI capabilities; and (iii) TELUS International’s shift toward AI put greater pressure on TELUS International’s margins than previously disclosed.
The TELUS International class action lawsuit further alleges that on May 9, 2024, TELUS International released its first quarter 2024 financial results, revealing that TELUS International was experiencing declining revenue, including a $29 million decrease in revenue year-over-year. In response to an analyst question, TELUS International CFO, defendant Gopi Chande stated that margins generated by TELUS International’s AI offerings “can be a bit below average,” according to the complaint. The TELUS International class action lawsuit alleges that on this news, the price of TELUS International stock fell more than 18%.
Then, on August 2, 2024, the TELUS International class action lawsuit alleges that TELUS International released second quarter 2024 financial results, revealing a significant slowdown in revenue generation: a $5 million quarter-over-quarter or $15 million year-over-year revenue decrease; a $23 million or 15% quarter-over-quarter adjusted EBITDA decrease; and a 14.6% quarter-over-quarter reduction in adjusted EBITDA margin, from 23.3% to 19.9%. According to the complaint, TELUS International CEO, defendant Jeff Puritt disclosed that the transition of TELUS International “towards a more technology-centric and, specifically, AI fueled business,” “necessitates some cannibalization of our tenured and higher margin CX work.” On this news, the price of TELUS International stock fell nearly 36%.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired TELUS International securities during the Class Period to seek appointment as lead plaintiff in the TELUS International 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 TELUS International class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the TELUS International class action lawsuit. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of the TELUS International 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 cases. Our Firm has been #1 in the ISS Securities Class Action Services rankings for six out of the last ten years for securing the most monetary relief for investors. We recovered $6.6 billion for investors in securities-related class action cases – over $2.2 billion more than any other law firm in the last four years. 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 securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig.