Ryder Deadline Alert: Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses Exceeding $50,000 In Ryder System, Inc. To Contact The Firm
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New York, New York--(Newsfile Corp. - July 17, 2020) - Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Ryder System, Inc. ("Ryder" or the "Company") (NYSE: R) of the July 20, 2020 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you invested in Ryder System stock or options between July 23, 2015 and February 13, 2020 and would like to discuss your legal rights, click here: www.faruqilaw.com/R. There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to rgonnello@faruqilaw.com.
CONTACT:
FARUQI & FARUQI, LLP
685 Third Avenue, 26th Floor
New York, NY 10017
Attn: Richard Gonnello, Esq.
rgonnello@faruqilaw.com
Telephone: (877) 247-4292 or (212) 983-9330
The lawsuit has been filed in the U.S. District Court for the Southern District of Florida on behalf of all those who purchased Ryder common stock between July 23, 2015 and February 13, 2020 (the "Class Period"). The case, Key West Police & Fire Pension Fund v. Ryder System, Inc. et al., No. 1:20-cv-22109 was filed on May 20, 2020.
The complaint alleges that Defendants inflated Ryder's financial results by systematically overstating the residual value of its trucking fleet. While Ryder repeatedly increased the expected residual values of its trucks, the actual amount Ryder was receiving from sales of used trucks had started to decline beginning in 2015. Nevertheless, the Company assured investors that it had been "conservative" in establishing the residual values of trucks in its fleet and "[w]e don't have a situation where we've got a bunch of vehicles that are at high residual values [and] have to be written down." As a result of Defendants' misrepresentations, shares of Ryder's common stock traded at artificially inflated prices during the Class Period.
On July 30, 2019, the Company reported earnings before tax for the second quarter of 2019 in its FMS business segment of $57.7 million compared to $76.6 million the prior year period, driven by lower used vehicle sales results which had declined from the prior year as a result of higher valuation adjustments of $10.4 million on a larger inventory and higher depreciation of $7.6 million due to residual value changes. As a result, Ryder reduced its earnings per share forecast for 2019 to a range of $4.80 to $5.10, as compared to its prior forecasted range of $5.28 to $5.58. Although the Company did not quantify the impact of used vehicle prices on its 2019 outlook, management indicated that the majority of the lowered guidance reflected weaker tractor valuations.