This page is temporarily not available. Please check later as it should be available shortly. If you have any questions, please email customer support at firstname.lastname@example.org or call 800-767-3771 ext. 9339.
A number of class action lawsuits were filed against MAKO Surgical Corporation ( MAKO - Snapshot Report ) recently on behalf of investors who purchased its shares between January 9 and May 7, this year. The lawsuits claim, among other things, that MAKO misled the investors by not disclosing the detrimental sales and utilization rates for its Robotic Arm Interactive Orthopedic (RIO) Systems and MAKOplasty applications during the aforementioned period.
As per the lawsuits, the defendant failed to reveal the actual facts and misguided the claimants with the 2012 revenue outlook provided during that period. According to the lawsuits, the outlook lacked an analytical perspective and the company did not have any reasonable basis to support it.
The lawsuits were filed in the United States District Court for the Southern Disctrict of Florida. As per the lawsuits, the company and some of its executives violated the federal law. The complainants seek to recover the financial losses on behalf of the class members in violation of Exchange Act. The legal entities seek to recover the damages on behalf of the investors.
The company’s growth strategy focuses on increasing sales of RIO Systems and MAKOplasty applications. In the light of higher costs and declining sales of its RIO System and MAKOplasty applications and no recent business developments, the imminent lawsuits are bound to act as a headwind. However, considering the orthopedic market overview, there is growth opportunity driven by demographic trends and unsaturated domestic market.
MAKO develops and manufactures advanced robotic arm systems and MAKOplasty applications. It competes with Arthocare Corp ( ARTC - Snapshot Report ) , Given Imaging ( GIVN ) and IMRIS Inc ( IMRS - Snapshot Report ) .
MAKO currently retains a Zacks #3 Rank, which translates into a short-term ‘Hold’ rating.
Please login to Zacks.com or register to post a comment.