NEW YORK, NY / ACCESSWIRE / October 4, 2022 / Pomerantz LLP is investigating claims on behalf of investors of Yatsen Holding Limited ('Yatsen' or the 'Company') (NYSE:YSG). Such investors are advised to contact Robert S. Willoughby at email@example.com 888-476-6529, ext. 7980.
The investigation concerns whether Yatsen and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
On or around November 19, 2020, Yatsen conducted its initial public offering of 58.75 million American Depositary Shares ('ADSs') priced at $10.50 per ADS. On August 26, 2021, during an earnings call, Yatsen acknowledged that the Company's Perfect Diary brand business had been deteriorating, requiring Yatsen to 'refocus and to devote more resources to continue the growth trend of [its] main brands.'
On this news, Yatsen's ADS price fell $1.03 per share, or 17.64%, to close at $4.81 per share on August 26, 2021.
Then, on November 17, 2021, Yatsen reported its financial results for the third quarter of 2021. Among other items, Yatsen acknowledged witnessing a 'soft industry environment for color cosmetics.' During the related earnings call, the Company stated that 'significant deceleration in general consumer and color cosmetics spending in China' was an 'industry trend,' partially related to the ongoing COVID-19 pandemic. Yatsen further acknowledged that gross sales from the Company's color cosmetics brands decreased by mid-single digits, due in part to 'realignment' of the Company's Little Ondine brand.
On this news, Yatsen's ADS price fell $0.59 per ADS, or 17.93%, to close at $2.70 per ADS on November 17, 2021.
Finally, on March 10, 2021, Yatsen reported its financial results for the fourth quarter and full year 2021, acknowledging that its disappointing results were due to a deceleration of sales of its leading brands, including Perfect Diary, Little Ondine, and Pink Bear.
On this news, Yatsen's ADS price fell $0.49 per ADS, or 39.5%, to close at $0.75 per ADS on March 10, 2022.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomlaw.com.
SOURCE: Pomerantz LLP
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