(MENAFN - Newsfile Corp) HAGENS BERMAN, NATIONAL TRIAL ATTORNEYS, Encourages XL Fleet (XL) Investors with Losses to Contact Its Attorneys, Securities Investigation Ongoing after Analyst Accuses Company of Inflating Backlog and Customer Base
San Francisco, California--(Newsfile Corp. - March 5, 2021) - Hagens Berman urges XL Fleet Corp. (NYSE: XL) investors with significant losses to submit your losses now . The firm is investigating possible securities law violations and certain investors may have valuable claims.
Contact An Attorney Now:
XL Fleet Corp. (NYSE: XL) Investigation:
The investigation centers on XL Fleet's statements about certain financial metrics and business prospects.
In past quarters, XL Fleet has touted its long-term growth potential in transforming gas-powered vehicles into hybrids, emphasizing its $220 million+ 12 month sales pipeline and growing customer base.
But on Mar. 3, 2021, XL Fleet's growth story was called into question when analyst Muddy Waters Research published a scathing report calling the company "More SPAC Trash."
Based on interviews with former employees, Muddy Waters claims that XL Fleet's management systemically inflates the company's backlog and grossly overstates the company's customer base, with at least 18 of 33 touted customers being inactive. Citing former sales personnel, Muddy Waters also alleges that XL misleads its customers about performance and savings and, due to these exaggerations, customer reorder rates are quite low. Finally, Muddy Waters charges the company with exaggerating sales projections and overstating its technological capabilities.
In response, the price of XL shares fell sharply lower.
"We're focused on investors' losses and whether XL misled investors by exaggerating its order backlog," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you are an XL investor and have significant losses, or have knowledge that may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman .
Whistleblowers: Persons with non-public information regarding XL Fleet should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email .
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